Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what measures she is taking to help ensure all landlords declare their rental income accurately.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
HMRC seeks to promote compliance and prevent non-compliance as early as possible through targeted education and support. We use a range of data sources and other information to identify, deter, and respond to non-compliance in the property sector, and help landlords to get their tax right from day one, keep them on track, and offer an opportunity to address previous errors.
Where landlords do not come forward to correctly declare their rental income, HMRC takes further steps including opening formal compliance interventions where necessary. We respond strongly to those who deliberately bend or break the rules.
From April 2026, landlords with qualifying income above £50,000 will need to use Making Tax Digital (MTD) for Income Tax. That threshold will reduce to £30,000 in April 2027 and £20,000 in April 2028.
MTD helps taxpayers pay the right amount of tax by encouraging timely and accurate record keeping, with digital prompts (where supported) pointing out errors or missing entries.
Through reducing error and improving accuracy in returns, MTD is expected to raise around £3bn in additional tax revenue by 2030-31.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate her Department has made of the annual cost to HMRC through the facilitation of tax evasion by the financial services sector.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
HM Revenue and Customs (HMRC) estimate the size of the tax gap, which is the difference between the amount of tax that should, in theory, be paid to HMRC, and what is actually paid. The tax gap statistics and details of the estimate methodologies are published annually and are available at: Measuring tax gaps 2025 edition: tax gap estimates for 2023 to 2024 - GOV.UK
Table 7.1 of the online tables shows the illustrative tax gap time series by behaviour, including evasion. The tax gap for evasion was £6.4 billion in tax year 2023 to 2024. The online tables are available at: Measuring tax gaps tables - GOV.UK.
HMRC does not separately estimate the tax gap due to tax evasion facilitated by the financial services sector.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make it her policy to establish a sustainable funding model for social welfare advice services.
Answered by James Murray - Chief Secretary to the Treasury
The Government recognises the important role that social welfare advice services play in supporting individuals.
For example, DWP provide grant funding to Citizens Advice, who deliver Help to Claim support for customers to apply for Universal Credit. In addition, the Money and Pensions Service, which is sponsored by DWP, continues to provide impartial, free money and pensions guidance directly to consumers.
DWP’s settlement at Spending Review 2025 provided DWP with funding to continue delivering these services.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether her Department plans to improve access to free debt advice; and if she will make a statement.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The Government is committed to ensuring that people in financial difficulty have access to free, impartial debt advice. Through the Money and Pensions Service (MaPS), the Government funds a range of national and community-based services to support individuals and families across England. The Government also provides funding for debt advice services in Scotland, Wales and Northern Ireland, which are delivered by the devolved governments.
Funding levels for both MaPS and the devolved governments are regularly reviewed to reflect demand, inflation, and evolving needs.
MaPS’ latest impact report shows that people accessing the debt advice services it funded in 2023/24 gained an estimated £48 million in additional income, demonstrating the value of these services in supporting financial resilience. MaPS is continuing to expand access to its services by strengthening its digital capabilities and working in partnership with local organisations, to ensure support is available to those most in need.
In addition, the Government is currently developing a Financial Inclusion Strategy which aims to improve access to financial services and support, including debt advice. The strategy will be published later this year.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will remove the tax-exempt heritage assets scheme from landowners.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The conditional exemption tax incentive scheme was introduced to preserve and protect the national heritage for the benefit of the public. The Government keeps all tax policy under review, and any changes are set out at fiscal events.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has made an assessment of the potential merits of removing VAT for all school uniform sold to primary school-aged children irrespective of whether it is labelled for children under 14.
Answered by James Murray - Chief Secretary to the Treasury
No VAT is charged on the sale of children’s clothing and footwear designed for children who are less than 14 years of age. This means that school uniform for primary-school aged children is already free from VAT, provided it falls within the tabled measurements of children up to the eve of their 14th birthday, as this is when body dimensions begin to merge with those of the general adult population. The UK is one of only two countries among the 37 OECD member countries to maintain a VAT relief for children’s clothing.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate she has made of the additional cost of the UK's debt interest following the downgrading of the AAA credit rating in each year since 2013.
Answered by Darren Jones - Minister for Intergovernmental Relations
Rising global interest rates and inflation have meant debt interest is at its second highest for a financial year since the 1980s. This shows why our fiscal rules – balancing the current budget and reducing net financial debt by 2029-30 – are the right thing to do to reduce the burden on future generations.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will assess the effectiveness of the Eat Out to Help Out Scheme.
Answered by Tulip Siddiq
Following the conclusion of the Eat Out Help Out scheme, HMRC published statistical analysis, which included data on scheme’s costs, take up, and geographical breakdown.
The Covid Inquiry is also investigating the UK’s response to and impact of the Covid-19 pandemic. The government is cooperating fully with the Inquiry in its extensive and detailed work.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, when she plans to publish the timetable for the consultation on the proposed infrastructure strategy.
Answered by Darren Jones - Minister for Intergovernmental Relations
Investment in Infrastructure is crucial for delivering the government’s missions, which is why the government is fundamentally reforming how it delivers infrastructure through a 10-year infrastructure strategy, establishing the National Infrastructure and Service Transformation Authority (NISTA), and delivering ambitious planning reform.
The 10-year infrastructure strategy will be published next spring, alongside the 2025 Spending Review. Government is developing the strategy working closely with the National Infrastructure Commission and Infrastructure and Projects Authority. The government will engage extensively with businesses, industry bodies and other stakeholders.
Asked by: Charlotte Nichols (Labour - Warrington North)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she plans to end the duty stamps scheme.
Answered by James Murray - Chief Secretary to the Treasury
The government will set out plans for the future of Alcohol Duty Stamps in due course.