Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department is providing support for the development of a sovereign wealth fund by St Kitts and Nevis.
Answered by Andrew Griffith - Shadow Secretary of State for Business and Trade
HM Treasury is not providing any support for the development of a sovereign wealth fund by St Kitts and Nevis.Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department is providing support for the development of a digital currency by the Eastern Caribbean Central Bank.
Answered by Andrew Griffith - Shadow Secretary of State for Business and Trade
HM Treasury is not providing support to the Eastern Caribbean Central Bank on its development of a digital currency.
Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if his Department will review the level of insurance tax for private health insurance.
Answered by Andrew Griffith - Shadow Secretary of State for Business and Trade
The revenue raised from IPT helps the Government to fund public services, including the NHS and social care. Reform leading to any loss in tax revenue would have to be balanced by a reduction in public spending, increased borrowing or increased taxation elsewhere.
Given this, there are currently no plans to change the IPT treatment of medical insurance, however, all taxes are kept under review and the views expressed to us are carefully considered as part of the Budget process.
Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make an assessment of the adequacy of HMRC’s processes for carrying out compliance checks into research and development tax relief claims.
Answered by Victoria Atkins - Shadow Secretary of State for Environment, Food and Rural Affairs
In response to the R&D review announced at Spring Budget 2021, the government announced a package of measures to target abuse and improve compliance. All claims for accounting periods beginning on or after 1 April 2023 will have to be notified in advance. Claims made on or after 1 August 2023 must be made digitally, include more details about the expenditure, be endorsed by a named senior officer of the company and include details of the individual agent who has advised the company on the claims. These changes are designed to make it easier for HMRC to identify spurious claims.
All R&D claims go through a risk screening process before the payment process. Where risks are identified, HMRC opens enquires into those claims following the HMRC Enquiry manual, a detailed guidance framework on conducting compliance checks. Assurance assessments of the checks are applied, and senior technical resource undertake the compliance checks on the more complex risks.
HMRC has doubled its dedicated specialist resource over the last three years undertaking R&D compliance checks, alongside the creation of the Anti-Abuse Unit (AAU) which was announced at Autumn Budget 2021. The AAU, working across HMRC, will focus on the most complex cases to quickly and effectively identify deliberately incorrect claims whilst simultaneously increasing HMRC’s efforts to educate, encourage and facilitate genuine businesses to get it right first time.
HMRC has processes in place to help prevent fraud relating to R&D relief. There is a balance between making sure those who are entitled to claim can do so easily, whilst also preventing those who are not entitled to claim from accessing the relief.
To improve compliance processes HMRC has established a threat risk assessment programme for all R&D claims, installed additional payment and verification controls and issued over 2,000 warning letters to high-risk claimants asking for more information to validate their claims.
HMRC balances the need for these compliance checks with ensuring that legitimate claims are paid out quickly.
Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to improve HMRC’s processes for carrying out compliance checks into research and development tax relief claims.
Answered by Victoria Atkins - Shadow Secretary of State for Environment, Food and Rural Affairs
In response to the R&D review announced at Spring Budget 2021, the government announced a package of measures to target abuse and improve compliance. All claims for accounting periods beginning on or after 1 April 2023 will have to be notified in advance. Claims made on or after 1 August 2023 must be made digitally, include more details about the expenditure, be endorsed by a named senior officer of the company and include details of the individual agent who has advised the company on the claims. These changes are designed to make it easier for HMRC to identify spurious claims.
All R&D claims go through a risk screening process before the payment process. Where risks are identified, HMRC opens enquires into those claims following the HMRC Enquiry manual, a detailed guidance framework on conducting compliance checks. Assurance assessments of the checks are applied, and senior technical resource undertake the compliance checks on the more complex risks.
HMRC has doubled its dedicated specialist resource over the last three years undertaking R&D compliance checks, alongside the creation of the Anti-Abuse Unit (AAU) which was announced at Autumn Budget 2021. The AAU, working across HMRC, will focus on the most complex cases to quickly and effectively identify deliberately incorrect claims whilst simultaneously increasing HMRC’s efforts to educate, encourage and facilitate genuine businesses to get it right first time.
HMRC has processes in place to help prevent fraud relating to R&D relief. There is a balance between making sure those who are entitled to claim can do so easily, whilst also preventing those who are not entitled to claim from accessing the relief.
To improve compliance processes HMRC has established a threat risk assessment programme for all R&D claims, installed additional payment and verification controls and issued over 2,000 warning letters to high-risk claimants asking for more information to validate their claims.
HMRC balances the need for these compliance checks with ensuring that legitimate claims are paid out quickly.
Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the Retained EU Law Bill, whether his department plans to review tobacco excise structures.
Answered by James Cartlidge - Shadow Secretary of State for Defence
Tax matters are kept under constant review, with any announcements made at fiscal events. All required legislation relating to excise duties will be made via the Finance Bill (or subordinate tax legislation) which is usual and appropriate for tax provisions.
Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department has plans to encourage high net worth individuals to immigrate.
Answered by James Cartlidge - Shadow Secretary of State for Defence
The Government is clear that any future visa route to facilitate investment-based migration must not offer entry solely on the basis of the applicant’s personal wealth.
Following the closure of the Tier 1 Investor visa in February 2022, the Home Office will be making reforms to the Innovator route, part of the new points-based immigration system, to provide an ambitious investment route which works more effectively in support of the UK’s economy.
Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if his Department will meet River Severn Partnership representatives to discuss further funding for flood defences for that river.
Answered by James Cartlidge - Shadow Secretary of State for Defence
Better protecting properties from flooding remains a key priority for government and significant investment in flood mitigation has taken place in Shrewsbury and the wider Severn Valley. In the English Severn and Wye region, £170 million will be invested on flood and coastal erosion risk management within the current Flood and Coastal Erosion Risk Management Programme. The programme is delivered by the Environment Agency and other Risk Management Authorities.
Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps the Government is taking to support people who do not have a mobile phone or bank card to to pay for items such as car parking tolls by cash.
Answered by Andrew Griffith - Shadow Secretary of State for Business and Trade
The way consumers and businesses interact with their banking continues to develop at pace, bringing significant benefits to those who choose to opt for the convenience, security, and speed of digital payments and banking.
Access to a bank account is an important way to enjoy these benefits, which is why the Government has legislated to require the nine largest personal current account providers in the UK to provide basic bank accounts, so customers are equipped with a bank card and can access digital banking and payment services. To facilitate the adoption of digital services, the Government is also supporting the roll-out of digital connectivity across the UK and improving access to digital skills training for adults.
Nonetheless, the Government recognises that cash continues to be used by millions of people across the UK, particularly those in vulnerable groups. In recognition of this, the Government has introduced legislation to protect access to cash as part of the Financial Services and Markets Bill. Further details can be found on the Parliament website: https://bills.parliament.uk/bills/3326
Asked by: Daniel Kawczynski (Conservative - Shrewsbury and Atcham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department plans to take steps to prevent the National Bank Trust from remitting to the Central Bank of Russia any damages its receives from legal action in the UK.
Answered by Richard Fuller - Shadow Chief Secretary to the Treasury
I am unable to comment on individual cases. However, the UK has imposed sanctions that prohibit UK persons from providing financial services for the purposes of foreign exchange or asset management of the Central Bank of Russia, the Russian Ministry of Finance, the National Wealth Fund of Russia, and entities owned or controlled by those bodies. These restrictions apply to all activity within the UK. I note that the Foreign, Commonwealth & Development Office has assessed that the National Bank Trust is owned by the Central Bank of Russia.