Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to ensure that victims of high value Authorised Push Payment fraud are adequately protected under the mandatory reimbursement scheme.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The Government takes the issue of fraud very seriously and is dedicated to protecting the public from this appalling crime. To protect consumers, under the Financial Services and Markets Act 2023, the Payment Systems Regulator (PSR) has introduced a mandatory reimbursement regime for Authorised Push Payment (APP) scams taking place over the Faster Payment system. This came into force on 7 October 2024.
The PSR’s rules require in scope Payment Service Providers (PSP’s) to reimburse victims of APP scams which take place over the Faster Payments System up to the value of £85,000, with responsibility split equally between the sending and receiving firms. The PSR has stated that it expects the £85,000 limit will cover 99% of claims. APP scams which take place over the CHAPS payment system are also in scope of reimbursement.
The PSR operates independently of the Government and has statutory responsibility for payment systems regulation. The PSR monitors compliance closely and has powers to take action where firms fall short of their obligations.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of merging the Valuation Office Agency and HMRC when dealing with businesses, in the context of changes to Agricultural Property Relief.
Answered by James Murray - Chief Secretary to the Treasury
On 28 April 2025, the government announced that the Valuation Office Agency’s functions will be brought into HMRC by the end of this financial year. This will combine the expertise and experience of both organisations in policy, valuations and programme delivery to support the government to deliver change more effectively. The move will improve the experience for taxpayers and businesses.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to the Answer of 12 December 2024 to Question 17780 on Employers' Contributions, if she will make an estimate of the (a) median and (b) mean average number of people employed by the employers that she expects will pay (i) the same and (ii) less in employer National Insurance contributions.
Answered by James Murray - Chief Secretary to the Treasury
A Tax Information and Impact Note that covers the employer NICs changes was published by HMRC on 13 November.Around 250,000 employers will see their Secondary Class 1 NICs liability decrease and around 820,000 employers will see no change.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the oral contribution by the Exchequer Secretary to the Treasury on 3 December 2024, Official Report, column 200, what estimate she has made of the (a) median and (b) mean average number of people employed by the subset of employers she expects will pay (i) the same and (ii) less in employer National Insurance contributions under her planned changes.
Answered by James Murray - Chief Secretary to the Treasury
A Tax Information and Impact Note that covers the employer NICs changes was published by HMRC on 13 November.Around 250,000 employers will see their Secondary Class 1 NICs liability decrease and around 820,000 employers will see no change.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate she has made of the proportion of employers who will pay (a) the same and (b) less in employer National Insurance Contributions from April 2025.
Answered by James Murray - Chief Secretary to the Treasury
A Tax Information and Impact Note that covers the employer NICs changes was published by HMRC on 13 November.Around 250,000 employers will see their Secondary Class 1 NICs liability decrease and around 820,000 employers will see no change.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of increases to employer National Insurance contributions at the Autumn Budget 2024 on (a) employment levels and (b) wages for (i) lower-paid and (ii) higher-paid workers.
Answered by James Murray - Chief Secretary to the Treasury
The Office for Budget Responsibility’s October 2024 Economic and Fiscal Outlook expects that the Employer National Insurance Contributions package will lead to a reduction in the participation rate of 0.1 per cent from 2025-26 onwards. Overall, once the impact of all budget measures are taken into consideration, the OBR expect the employment level to increase from 33.1 million in 2024 to 34.3 million in 2029.
Employers have a choice about how they respond to the NICs increase. The Government recognises that employers may respond by increasing employees’ wages more slowly than they would have otherwise, alongside absorbing pressures through prices, efficiencies or lower profits.
The Government is protecting the lowest paid by increasing the National Living Wage. This limits the ability of employers to pass on increases in costs to those on lower pay. The Government has also introduced important protections for workers as part of the Plan to Make Work Pay.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make a comparative assessment of the potential impact of (a) employment and (b) wage-level effects resulting from increases to employer National Insurance Contributions on (i) women and (ii) men.
Answered by James Murray - Chief Secretary to the Treasury
The Office for Budget Responsibility’s October 2024 Economic and Fiscal Outlook expects that the Employer National Insurance Contributions package will lead to a reduction in the participation rate of 0.1 per cent from 2025-26 onwards. Overall, once the impact of all budget measures are taken into consideration, the OBR expect the employment level to increase from 33.1 million in 2024 to 34.3 million in 2029.
Employers have a choice about how they respond to the NICs increase. The Government recognises that employers may respond by increasing employees’ wages more slowly than they would have otherwise, alongside absorbing pressures through prices, efficiencies or lower profits.
The Government is protecting the lowest paid by increasing the National Living Wage. This limits the ability of employers to pass on increases in costs to those on lower pay. The Government has also introduced important protections for workers as part of the Plan to Make Work Pay.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what comparative assessment her Department has made of the potential impact of proposed increases to employer national insurance contributions on (a) full-time and (b) part-time workers.
Answered by James Murray - Chief Secretary to the Treasury
The Office for Budget Responsibility’s October 2024 Economic and Fiscal Outlook expects that the Employer National Insurance Contributions package will lead to a reduction in the participation rate of 0.1 per cent from 2025-26 onwards. Overall, once the impact of all budget measures are taken into consideration, the OBR expect the employment level to increase from 33.1 million in 2024 to 34.3 million in 2029.
Employers have a choice about how they respond to the NICs increase. The Government recognises that employers may respond by increasing employees’ wages more slowly than they would have otherwise, alongside absorbing pressures through prices, efficiencies or lower profits.
The Government is protecting the lowest paid by increasing the National Living Wage. This limits the ability of employers to pass on increases in costs to those on lower pay. The Government has also introduced important protections for workers as part of the Plan to Make Work Pay.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an estimate of the total revenue to the public purse from increases in employer National Insurance Contributions for (a) GP practices, (b) dental practices, (c) hospices, (d) pharmacies and (e) other organisations contracted to the NHS.
Answered by James Murray - Chief Secretary to the Treasury
The latest forecasts for tax revenues were published alongside the Office for Budget Responsibility’s (OBR) October Economic and Fiscal Outlook. These forecasts are based on economic determinants, including wage growth and employment levels. The OBR do not forecast NICs receipts at a sector level. Detailed tax receipts forecasts can be found here: Economic and fiscal outlook – October 2024 - Office for Budget Responsibility.
Asked by: Damian Hinds (Conservative - East Hampshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of her tax policies on the unemployment rate.
Answered by James Murray - Chief Secretary to the Treasury
The Office for Budget Responsibility’s October 2024 forecast, which takes into account tax measures announced in the Budget, expects the unemployment rate will fall to 4.1% next year and remain low until 2029.