Asked by: David Taylor (Labour - Hemel Hempstead)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether funding saved by reducing the cost of hotel accommodation for asylum seekers in the UK will be given to the Foreign, Commonwealth and Development Office to spend on international aid overseas.
Answered by James Murray - Chief Secretary to the Treasury
At Spring Statement 2025, the government confirmed that ODA budgets across the Spending Review period would be set in cash terms, based on the Office for Budget Responsibility’s spring 2025 forecast of gross national income (GNI). This means the FCDO’s ODA budget will no longer be automatically exposed to the volatility of GNI fluctuations or to ODA spending by other departments, including changes in asylum costs, providing greater predictability.
Asked by: David Taylor (Labour - Hemel Hempstead)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether her Department is working with (a) EU and (b) G7 partners to coordinate the release of (i) frozen Russian-linked assets and (ii) the proceeds from the sale of Chelsea Football Club; and which body holds final authority over the (A) release and (B) allocation of those funds.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The Chancellor is actively engaging with EU and G7 partners through regular discussions with G7 finance ministers to explore all viable legal avenues to make use of Russia’s sovereign assets for the benefit of Ukraine, in line with international law.
Separately, the Government is working hard to ensure that the proceeds from the sale of Chelsea Football Club are directed towards humanitarian causes in Ukraine as swiftly as possible. These proceeds are not sovereign Russian assets, but rather funds owned by a private entity (Fordstam Ltd), which is itself owned by a Designated Person under UK sanctions regulations – Mr Abramovich.
In common with all other frozen funds, the proceeds from the sale of Chelsea Football Club remain the property of the Designated Person. Agreement must be given by Fordstam Ltd for these funds to be transferred to a new independent charitable foundation for humanitarian assistance in Ukraine. To date, they have not provided this agreement.
While the door for negotiating an agreement remains open, the Government is fully prepared to pursue this matter through the courts if required.
Asked by: David Taylor (Labour - Hemel Hempstead)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she plans to provide exemptions to Developing Countries Trading Scheme countries for Carbon Border Adjustment Mechanisms.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The UK has no current plans for an exemption from the Carbon Border Adjustment Mechanism (CBAM) for least developed countries (LDCs). UK imports from LDCs make up a very small proportion of total CBAM imports, approximately 0.03% (HMRC origin data 2023). Using a range of sources the Government estimates that, on average, less than 1% of LDCs’ total exports of goods from CBAM sectors are exported to the UK.
The UK will continue to engage with its trade partners, including LDCs, ahead of the introduction of the CBAM.