Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will ensure that economic operators who are unable to comply with the Tobacco Products (Traceability and Security Features) Regulations 2019 due to software issues will not be penalised.
Answered by Robert Jenrick
The Tobacco Products (Traceability and Security Features) Regulations 2019 require the movement of tobacco products to be recorded by economic operators through the supply chain.
Tobacco manufacturers are required to provide economic operators with the software necessary to record movements.
If an economic operator is unable to comply with the Regulations due to software issues, HM Revenue & Customs will consider what action to take on a case-by-case basis according to the facts of the particular case.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to the Answer of 12 April 2019 to Question 241464, what opportunity for appeal exists for economic operators in the event that the compensation offered by tobacco manufacturers for the equipment and software for the recording and transmission of product movement and transactional events to the data storage systems (Article 15(7) of TPD2014/40/EU) does not cover the cost to that operator of implementing the Tobacco Products (Traceability and Security Features) Regulations 2019.
Answered by Robert Jenrick
Tobacco manufacturers have introduced a compensation scheme and appointed a third party provider to act as a single point of contact (SPoC) for all compensation claims. The SPoC appointed by the tobacco manufactures for the EU is Société Générale de Surveillance SA (SGS).
If an economic operator is not happy with the level of compensation offered, they can appeal to SGS.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how the level of compensation for the hardware and software for the recording and transmission of the information for product movement and transactional events to the data storage systems (Article 15(7) of TPD2014/40/EU) was calculated.
Answered by Robert Jenrick
As required by Article 15(7) of the Tobacco Products Directive, HM Revenue & Customs (HMRC) has ensured tobacco manufacturers and importers have arrangements in place to provide economic operators with the equipment necessary to record and transmit track and trace transactions.
These arrangements, which include the level of compensation offered, are contractual matters between tobacco manufacturers and importers, and the companies in their supply chains. HMRC has not been involved in these contractual discussions and is unable to comment on how the compensation is calculated.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps HMRC will take to (a) enforce the regulations within the Tobacco Track and Trace scheme past 20 May 2019 and (b) ensure that business have adequate time to register for Economic Operator identifier codes.
Answered by Robert Jenrick
The Tobacco Products (Traceability and Security Features) Regulations 2019 include sanctions for non-compliance with the track and trace scheme. This includes the power to seize non-compliant tobacco products and deactivate an Economic Operator’s ID Code.
From 20 May 2019, businesses will be unable to legally buy or sell tobacco products without a valid ID Code. These sanctions will help protect legitimate business from rogue operators selling illicit tobacco products.
HMRC recognises that businesses will need time to become familiar with the new arrangements. During the 12-month sell through period, HMRC will support businesses to understand their obligations, and engage with other enforcement agencies, including Border Force and Trading Standards, to ensure effective and proportionate enforcement of the regulations.
De La Rue (the UK’s appointed ID issuer) published details of the registration process and general guidance on 25 March 2019. The registration process will open on 23 April for manufacturers and large retailers, and on 30 April for all other businesses. This will help to stagger the registration process and facilitate the registration of businesses by the deadline of 20 May 2019.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate his Department has made of the cost to wholesalers of the new Track and Trace system on tobacco products; and if he will make a statement.
Answered by Robert Jenrick
HMRC has not made its own estimate of the cost to wholesalers of the tobacco track and trace system. The EU commission carried out several consultations during the development of this policy, and published an Impact Assessment covering the EU implementing legislation on 15 December 2017. It remains an accurate summary of the impacts of the new track and trace system on tobacco products.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment his Department has made of the potential merits of implementing transition arrangements in the event that the Financial Conduct Authority becomes responsible for the pre-paid funeral plan market.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
HM Treasury has analysed the submissions to the call for evidence on pre-paid funeral plans and is currently reviewing the available policy options.
This includes considering transitional arrangements to any new regulatory framework. The response to the call for evidence will be published in due course.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, when his Department plans to publish its response to the consultation entitled Pre-paid funeral plans, launched in June 2018.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
HM Treasury has analysed the submissions to the call for evidence and is currently reviewing the available policy options. The response to the call for evidence will be published in due course.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how much additional revenue has accrued to the public purse in taxation on (a) beer, (b) wine and (c) spirits since the introduction of the Alcohol Wholesaler Registration Scheme in 2017.
Answered by Robert Jenrick
The Alcohol Wholesalers Registration Scheme was introduced as one of a number of HMRC initiatives to tackle alcohol excise duty fraud. HMRC assesses all applications to ascertain whether the business and key persons within it are fit and proper for approval.
Approved businesses are monitored to ensure compliance with the scheme and to minimise the risk of illicit alcohol entering the wholesale market. To date HMRC has approved approximately 8000 businesses and over 800 applications have been refused.
HMRC publishes alcohol receipts on a monthly basis on the UK Trade Info website. Multiple factors influence revenue receipts. Therefore, HMRC is unable to directly attribute any increases to introduction of the Alcohol Wholesalers Registration Scheme.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he has made an assessment of the effect on (a) the public purse and (b) bookmakers of implementing the reduced maximum stake on fixed-odds betting terminals to two pounds in (i) April 2019, (ii) April 2020 and (iii) at any other times; and if he will publish any such assessments.
Answered by Robert Jenrick
Estimates of the effect on gambling duties approved by the Office for Budget Responsibility are not available.
DCMS have met with industry to understand the technological requirements along with the potential impact on employment.
Asked by: Carolyn Harris (Labour - Swansea East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of the revenue that would accrue to the public purse from Remote Gaming Duty being set at (a) 18 (b) 19 and (c) 20 per cent.
Answered by Robert Jenrick
Estimates approved by the Office for Budget Responsibility are not available.