Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment his Department has made of the adequacy of the availability of cash withdrawal facilities in Lincolnshire.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The government recognises that cash continues to be used by millions of people across the UK, including those who may be in vulnerable groups.
The government legislated through the Financial Services and Markets Act 2023 to establish a new legislative framework to protect access to cash. This establishes the Financial Conduct Authority (FCA) as the lead regulator for access to cash and provides it with responsibility and powers to seek to ensure reasonable provision of cash withdrawal and deposit facilities, on both a national and local basis. The FCA expects to finalise its regulatory rules in the third quarter of this year.
The most recent analysis undertaken by the FCA is available on the FCA website: Access to cash coverage in the UK 2023 Q1
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how much funding in Government-backed business loans was provided to businesses in South Holland and the Deepings constituency during the covid-19 pandemic.
Answered by Gareth Davies - Exchequer Secretary (HM Treasury)
In total, the British Business Bank's Covid-19 loan support schemes (Coronavirus Business Interruption Loan Scheme, Coronavirus Large Business Interruption Loan Scheme and the Bounce Back Loan Scheme) supported £101.4 million of lending to businesses in the South Holland and the Deepings constituency.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he plans to zero rate hearing aids.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
Most hearing aids are dispensed free of charge to NHS patients. Specialised hearing devices designed for people with severely defective hearing are relieved of VAT, when purchased by disabled people. However, generic hearing aids that are not designed specifically for disabled persons are not relieved of VAT.
The Government keeps all taxes under review.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will have discussions with banks on (a) limits on spending for gambling addicts and (b) issuing loans to gambling addicts.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Government recognises the important role banks and other financial services can play in supporting efforts to tackle gambling related harm.
Around 90% of retail bank accounts and an increasing number of payment providers now offer opt-in gambling blocks, which can be used to manage customers’ gambling spend. The Government welcomes industry-led improvements to these tools. For example, we are aware some providers have made the gambling management tools more customisable, allowing customers to set gambling spending limits or block all transactions entirely.
Regarding loans to people with gambling addictions, protecting vulnerable consumers is a key priority for the Government and the Financial Conduct Authority (FCA), which regulates the consumer credit market. Under FCA rules, firms undertaking creditworthiness assessments must assess whether a customer will repay, but also the customer’s ability to repay affordably and without significantly affecting their wider financial situation.
Officials meet regularly with the FCA and banks to discuss these issues.
In April 2020, the Gambling Commission also introduced a ban on using credit cards to gamble to help minimise the risk of harm to consumers from gambling with money they do not have.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to support people with (a) Parkinson's and (b) other long-term conditions to cover everyday expenses.
Answered by Laura Trott - Chief Secretary to the Treasury
HM Treasury ministers have regular discussions with Department for Health and Social Care ministers on a range of issues, including meetings between the Chancellor and the Secretary of State
The Government delivers a wide range of support to help those with disabilities and long-term health conditions, such as Parkinson’s. If individuals incur extra costs whilst performing tasks associated with daily living, then they may qualify for disability benefits such as Personal Independence Payment (PIP) and Attendance Allowance (AA). This extra support can be worth over £8,900 per year and is due to increase from April by 6.7%. Depending on their needs, additional support for those with Parkinson’s may be available via local authorities who deliver adult social care services.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he has had recent discussions with banks on the closure of bank branches in rural areas.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Treasury regularly engages with the banking sector to discuss a range of policy matters. The Government believes that all customers, wherever they live, should have appropriate access to banking and cash services, and I would like to assure you that I am monitoring this issue closely.
Though the closure of bank or building society branches are commercial decisions, it is imperative that firms recognise the needs of all their customers, including those who need to use in-person services.
Guidance from the FCA sets out its expectation of firms when they are deciding to reduce their physical branches or the number of free-to-use ATMs. The FCA’s guidance is clear that firms are expected to carefully consider the impact of planned branch closures on their customers’ everyday banking and cash access needs, and put in place alternatives, where this is reasonable.
UK customers can access banking services through a number of different channels. This includes in branches, Post Offices or Banking Hubs, as well as via telephone banking and through digital means such as mobile or online banking.
The Post Office allows personal and business customers to carry out everyday banking services at 11,500 Post Office branches across the UK. The Post Office is required by the Department for Business & Trade to ensure that 95% of the total rural population across the UK is within 3 miles of their nearest Post Office.
Banking Hubs are an initiative which enable customers of participating banks to access cash and banking services in shared facilities. Over 100 Banking Hubs have been announced so far, and the Government hopes to see these Hubs open as soon as possible.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent estimate he has made of the total value of fraudulent claims under the Coronavirus Job Retention Scheme; and how much and what proportion of those claims the Government has recovered as of 17 January 2024.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
Information on His Majesty’s Revenue and Customs estimates regarding the rate of error and fraud for the Coronavirus Job Retention Scheme and the other COVID-19 support schemes administered by HMRC is available at the following link : https://www.gov.uk/government/publications/measuring-error-and-fraud-in-the-covid-19-schemes/error-and-fraud-in-the-covid-19-schemes-methodology-and-approach-an-update-for-2023
Information regarding HMRC’s compliance activity in the COVID-19 support schemes is available at the following link:
committees.parliament.uk/publications/42603/documents/211751/default/
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to protect free-to-use ATMs.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The government recognises that cash continues to be used by millions of people across the UK, including those who may be in vulnerable groups.
The government legislated through the Financial Services and Markets Act 2023 to establish a new legislative framework to protect access to cash. This establishes the Financial Conduct Authority (FCA) as the lead regulator for access to cash and provides it with responsibility and powers to seek to ensure reasonable provision of cash withdrawal and deposit facilities. Importantly, in relation to personal current accounts the FCA is required to seek to ensure reasonable provision of free cash access services.
The FCA is currently holding a consultation on its proposed regulatory approach ahead of this coming into effect by Q3 2024: FCA Access to Cash Consultation
LINK (the scheme that runs the UK's largest ATM network) has commitments to protect the broad geographic spread of free-to-use ATMs and is held to account against these commitments by the Payment Systems Regulator. LINK has committed to protect free-to-use ATMs more than one kilometre away from the next nearest free ATM or Post Office, and free access to cash on high streets (where there is a cluster of five or more retailers) that do not have a free-to-use ATM or a Post Office counter within one kilometre.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he has had discussions with the Financial Conduct Authority on the potential merits of taking into account the specific needs of local communities when setting minimum cash access standards rather than using geographic criteria.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The government recognises that cash continues to be used by millions of people across the UK, including those who may be in vulnerable groups.
The government legislated through the Financial Services and Markets Act 2023 to establish a new legislative framework to protect access to cash. This establishes the Financial Conduct Authority (FCA) as the lead regulator for access to cash and provides it with responsibility and powers to seek to ensure reasonable provision of cash withdrawal and deposit facilities.
In determining what constitutes reasonable provision, the legislation requires the FCA to have regard to a government policy statement, any local deficiencies in cash access that it has identified and considers to have significant impacts and any other matters as it considers appropriate.
The government published a policy statement earlier this year. This stated that consideration should be taken of the degree to which services meet local needs in relation to both business and personal use. The government’s policy statement is available at: Cash Access Policy Statement.
The FCA is currently holding a consultation on its proposed regulatory approach ahead of this coming into effect by Q3 2024.
Asked by: John Hayes (Conservative - South Holland and The Deepings)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make an assessment of the potential merits of raising the cap on interchange fees.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Government has previously legislated to ensure that interchange fees remain capped for UK domestic card transactions, where both the card issuer and acquirer are located in the UK, through the Interchange Fee (Amendment) (EU Exit) Regulations 2019. This instrument ensures that the previous EU regulation on interchange fees for card payments continues to operate effectively as direct retained EU law following the UK’s withdrawal from the EU. These caps ensure that the cost of card payments is affordable for merchants and acquirers.
The Financial Services and Markets Act 2023, repeals retained EU law in financial services, which includes the Interchange Fee Regulation 2015, in order to deliver a Smarter Regulatory Framework. Retained EU law will be repealed and replaced with rules set by our independent and expert regulators, operating within a framework set by government and Parliament. Under this framework, the Payment Systems Regulator will be responsible for any future rules on interchange fees.