Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of when defence spending will reach 2.5% of GDP; whether he has made an assessment of the potential merits of raising defence spending to 3% of GDP; and if he will have discussions with the Leader of the House on finding time to debate the Early Day Motion in the name of the hon. Member for Clacton, number 455, on Future defence spending.
Answered by Laura Trott - Chief Secretary to the Treasury
The government has consistently prioritised defence spending. The Ministry of Defence was the first department to get certainty on its budgets in this Parliament. This settlement was the largest sustained spending increase in defence since the end of the Cold War, with a £24 billion uplift in cash terms over the four-year period. In March 2023, we also provided an extra £11 billion for defence and national security priorities over the next five years, with £4.95 billion over the next two years.
The government’s aspiration over the longer-term is to invest 2.5% of GDP on defence, when the fiscal and economic circumstances allow.
Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he is taking steps to prevent banks from providing (a) financial and (b) investment support to industrial livestock companies that contribute to deforestation.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Government is committed to working with UK financial institutions to further tackle deforestation-linked finance. As we set out in the updated Green Finance Strategy, we have begun this work with Government-convened roundtables having commenced in Summer 2023.
The global approach on disclosure standards, such as the International Sustainability Standards Board (ISSB) or the Taskforce on Nature-related Financial Disclosures (TNFD) is a vital condition for success in improving nature-related disclosure.
Following the making of the first relevant regulations under paragraph 1 of Schedule 17 of the Environment Act and as set out in the Financial Services and Markets Act 2023, HM Treasury will conduct a review to assess the extent to which regulation of the UK financial system is adequate for the purpose of eliminating the financing of illegal deforestation, and to consider what, if any, changes to the regulatory framework may be appropriate.
Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he plans to extend business rates relief for non-essential businesses beyond the 2020-21 tax year.
Answered by Jesse Norman
This year the Government has provided an unprecedented business rates holiday for eligible retail, hospitality and leisure properties, and nurseries, due to the direct adverse effects of COVID-19, worth about £10 billion.
At the 2020 Spending Review, the Government committed further support to all businesses by freezing the business rates multiplier for 2021-22.
The Government is considering options for reliefs for 2021-22. As announced in a Written Ministerial Statement on 3 February, the Government will outline the next round of COVID-19 support measures at Budget.
Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department has plans to extend the deadline of 31 October 2020 for Self Assessment paper tax returns for older people in residential care who are unable to access HMRC services online or complete paperwork without support from family members, which is unavailable as a result of covid-19 social distancing measures.
Answered by Jesse Norman
HMRC have no plans currently to extend the deadline of 31 October 2020 for Self-Assessment paper returns for older people in residential care. However, HMRC will take a sympathetic view where the impact of COVID-19 on a person’s personal circumstances has caused them to miss the filing deadline.
Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent discussions he has had with the Secretary of State for Education on school funding.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
I regularly discuss school funding with the Secretary of State for Education. At the Spending Round, the government committed to a £7.1 billion cash increase in funding for schools in England by 2022-23. This funding settlement reflects the government’s commitment to high quality education for all school children.
Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make it his policy to maintain the carbon price in the next 12 months; and what assessment he has made of the effect of carbon pricing on the decarbonisation of the UK economy.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
The Government is committed to carbon pricing as a decarbonisation tool following the transition period. In line with the Withdrawal Agreement, the UK will remain in the EU Emissions Trading System until 31 December 2020.
Alongside the EU ETS, the UK also applies the Carbon Price Support rate. Together, these have helped to reduce the importance of coal in the UK’s energy generation mix: electricity generation from coal usage has fallen from 40% in 2012 to 5% in 2018. Further detail on carbon pricing will be set out at the Budget.
Additionally, in November 2019, HM Treasury published Terms of Reference for its review into how the transition to a net zero economy will be funded, and where the costs will fall. The review will ensure contributions are fair between households, businesses and the taxpayer, and will allow us to maximise economic growth opportunities from the transition. The review will publish its findings in Autumn 2020.
Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he plans to differentiate the rate of duty on beer between supermarkets and pubs after the UK has left the EU.
Answered by Simon Clarke
Fiscal changes to alcohol, and tax rates are kept under review, and further announcements to duty changes will be made in due course.
To date, since 2010, government has scrapped the beer duty escalator, making the price of a typical pint 14p cheaper than it otherwise would have been. Pubs are also able to benefit from wider reforms including the Pubs Code and reductions to business rates.
Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what fiscal steps his Department is taking to support the UK's transition to a low-carbon economy; and what his policy is on the future of carbon pricing in the UK.
Answered by Simon Clarke
The UK is the G20 leader in reducing the carbon intensity of its economy, and is using a range of policy levers – including spending and taxes – to support the UK’s transition to a low-carbon economy.
The Clean Growth Strategy set out significant investment by the Government in decarbonisation including £2.5 billion to support low carbon innovation from 2015-2021, £4.5bn to support development of renewable and low carbon heating through the Renewable Heat Incentive and £1 billion to support the uptake of ultra-low emissions vehicles. In addition, government has supported the deployment of renewable electricity projects, with annual consumer support now reaching over £10bn.
HMT has accepted the Committee on Climate Change’s (CCC) recommendation to conduct a review into the costs and benefits of transitioning to a net zero economy. The Review will consider how to achieve this transition in a way that works for households, businesses and public finances.
Carbon pricing has helped to drive down UK emissions, in particular from the power sector, and will continue to play an important role to help meet the UK’s legally binding carbon reduction commitments, which are unaffected by leaving the EU.
The government is considering long-term options for carbon pricing including the possibility of linking a UK greenhouse gas emissions trading system with the EU ETS. As announced at Budget 2018, in the event the UK leaves the EU without a deal, the Carbon Emissions Tax would be introduced.
Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent steps his Department has taken to reduce tax (a) avoidance and (b) evasion.
Answered by Jesse Norman
This government has taken significant action, including introducing 100 new measures tackling tax avoidance, evasion and other forms of non-compliance, since 2010, securing and protecting £200bn that would have otherwise gone unpaid and helping to bring the UK’s tax gap to a near record low of 5.6%.Asked by: Giles Watling (Conservative - Clacton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment he has made of the merits of private sector ownership of electricity networks.
Answered by Robert Jenrick
The Government is fully committed to a model of private ownership with strong independent economic regulation and ensuring this model delivers for consumers. The Government has not conducted a recent assessment of the merits of private sector ownership of electricity networks; nor an assessment of the potential effect of the re-nationalisation of electricity networks on the level of personal pensions.