Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department plans to take to support credit unions, in the context of the forthcoming National Financial Inclusion Strategy.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The government has committed to publish a Financial Inclusion Strategy later this year to improve access to financial products and the financial resilience of households in the UK. The strategy will address a range of barriers to financial inclusion, including a key focus on how to improve access to credit. This will seek to build on the government’s recognition of the key role credit unions play in serving underserved groups.
The government has made clear its strong support for the credit union sector, recognising the value that credit unions bring to their members in local communities across the country in providing savings products and affordable credit.
HM Treasury is delivering on measures announced by the Chancellor in last year’s Mansion House speech to support credit unions and the wider mutuals sector, including: concluding a call for evidence on potential reforms to credit union common bonds, supporting the industry-led Mutual and Co-operative Sector Business Council, and commissioning the Financial Conduct Authority (FCA) and Prudential Regulation Authority (PRA) to publish a report on the mutuals landscape by the end of 2025.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, when her Department plans to publish the National Financial Inclusion Strategy; and what (a) themes and (b) policy measures it will include to (i) address financial exclusion and (ii) improve people's financial resilience.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The Government has committed to publish a national Financial Inclusion Strategy later this year to improve access to financial products and the financial resilience of underserved groups in the UK.
The strategy will address key barriers to financial inclusion, with a focus on: (i) digital inclusion and access to banking; (ii) savings; (iii) insurance; (iv) credit; (v) problem debt; and (vi) financial education and capability. Across these areas, the themes of accessibility, mental health, and economic abuse have also been considered in recognition of the particular challenges individuals can face in relation to these issues.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what progress she has made in reviewing responses to the call for evidence on reforming the credit union common bond in Great Britain; and when she plans to publish proposed next steps.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The government recognises the role that credit unions play in providing savings and affordable loans to their members, serving local communities throughout the country. This is why the government is taking steps to ensure credit unions are fully supported to grow and scale into the future.
This includes exploring legislative reform to the credit union common bond, to ensure it remains fit for purpose. We launched a call for evidence at last year’s Mansion House on the potential reform, which closed in March this year.
Responses to the call for evidence are being carefully considered and the government will provide an update on this work in due course.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what proportion of (a) tableware and (b) crockery used in her Department is made by a British manufacturer.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government is committed to supporting British businesses and ensuring they have the best chance to win public contracts.
The new Procurement Act creates a simpler and more transparent system that will support British businesses bidding for work.
The Act also allows contracting authorities to set standards that recognise the quality and standard of UK businesses and products.
Alongside this, the National Procurement Policy Statement encourages contracting authorities to consider this government’s Industrial strategy and the sectors vital to our economic growth.
HM Treasury does not hold the information requested. The provision of catering facilities, including tableware and crockery in catering outlets for HM Treasury staff and buildings, is managed under contracts administered by the Government Property Agency.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what discussions she has had with Cabinet colleagues on (a) public and (b) school library funding.
Answered by Darren Jones - Minister for Intergovernmental Relations
In line with the practice of successive administrations, details of internal discussions are not normally disclosed.
Local government is responsible for running or commissioning public library services. The Government has delivered a Local Government Finance Settlement (LGFS) that begins to fix the foundations of local government by providing significant investment and redirecting funding towards the services and places that need it most. The Settlement for 2025-26 makes available over £69 billion for local government, which is a 6.8% cash terms increase in councils’ Core Spending Power on 2024-25.
The Government provides funding to schools and academies through the Dedicated Schools Grant. Schools and academies are best placed to make decisions on how to prioritise this funding, including on school library provision.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
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 from the energy bills of ceramic manufacturers.
Answered by James Murray - Chief Secretary to the Treasury
VAT input tax on energy bills wholly and exclusively related to business activity can be reclaimed by VAT registered businesses.
The Government provides a range of support for business energy bills. The British Industry Supercharger includes a series of targeted measures to bring energy costs for key industries in line with other major economies. The Energy Intensive Industries Compensation Scheme provides businesses with relief for the costs of the UK Emissions Trading Scheme (ETS) and Carbon Price Support mechanism in their electricity bills. Finally, the Industrial Energy Transformation Fund supports businesses with high energy use to cut their bills and reduce carbon emissions and is available over the period to 2027.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential impact of not including imported ceramics in the scope of the Carbon Border Adjustment Mechanism from 1 January 2027 on UK ceramics manufacturers .
Answered by James Murray - Chief Secretary to the Treasury
Products from the ceramics sector will not be in scope of the UK CBAM upon implementation in 2027. The ceramic sector is, on average, less emissions intensive than those sectors within scope of the UK CBAM, and therefore relatively less exposed to carbon leakage risk. The sector also raised feasibility concerns in relation to potential implementation. The government will continue to work with industry to address these concerns and will consider potential inclusion at a later date.
The domestic ceramic sector participates in the UK Emissions Trading Scheme. Under the UK ETS, installations in sectors deemed at risk of carbon leakage receive free allowances. The UK ETS Authority is committed to ensuring adequate carbon leakage protection for participating sectors, and is conducting a review into the allocation of free allowances (Free Allocation Review) are better targeted to sectors most at risk of carbon leakage.
Asked by: Gareth Snell (Labour (Co-op) - Stoke-on-Trent Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking with Cabinet colleagues to support new co-operatives and mutuals.
Answered by Tulip Siddiq
The Government recognises the important contribution of co-operatives and mutuals to the economy, serving local communities around the UK and ensuring the UK has a diverse business sector with their model of shared ownership. According to the Co-operative and Mutual Economy Report 2024, there are currently 9,342 mutual and co-operative businesses in the UK, with an annual income of £165.7 billion.
The Government is committed to unlocking the full potential of the mutual and co-operative sector to support inclusive growth and will work with the sector to ensure it is fully supported to grow.
To help ensure co-operatives legislation is meeting the needs of co-operative and community benefit societies, the Government is funding the Law Commission’s independent review of the Co-operative and Community Benefit Societies Act 2014. This will consider ways to update and modernise the Act.