Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to help increase economic growth in Hazel Grove constituency.
Answered by James Murray - Chief Secretary to the Treasury
There is excellence right across the country and this government is backing it: lifting living standards and putting more money in people’s pockets. Greater Manchester Combined Authority will receive £2.5bn through the Transport for City Regions Fund and the Greater Manchester Investment Zone is expected to deliver £1.1 bn in private sector investment and 32,000 jobs.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential merits of increasing draft duty relief for (a) consumers, (b) pubs and (c) breweries in Hazel Grove constituency.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Chancellor’s draught rate cut at Autumn Budget 2024 applied to approximately 60% of the alcoholic drinks sold in pubs. This took a penny of duty off a typical strength pint.
Draught beer and cider now pay 13.9% less in duty than their packaged equivalents – an increase of over 50% on the previous draught discount of 9.2%.
The Chancellor makes decisions on tax policy at fiscal events. The Government welcomes representations from the beer and pub sectors in advance of the Budget.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential impact of bringing most unused pension funds within the value of a person’s estate for Inheritance Tax purposes on people currently receiving pensions.
Answered by James Murray - Chief Secretary to the Treasury
I refer the Honourable Member to the answer given to UIN 55099.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to ensure that banks support innovation in relation to (a) digital assets and (b) other areas.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
The government recognises the transformative potential of new technologies in the financial services sector and has made innovation and technology one of the key pillars of its Financial Services Growth and Competitiveness Strategy. The government is committed to enabling and supporting increased digital adoption, as well as other new technologies, that have the potential to increase productivity and open up new products and services. The government will publish this strategy at Mansion House on the 15th July.
This is in addition to measures the government has already taken to ensure that banks support innovation, such as the commitment set out in the National Payments Vision to establish a Long-Term Regulatory Framework for Open Banking. This framework will provide the clarity and certainty needed to facilitate further innovation and investment.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking to support people in switching to more affordable mortgage products.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
According to the Financial Conduct Authority (FCA), the vast majority of borrowers switch within 6 months of the end of an introductory deal. However, the Government understands the challenges facing mortgage borrowers that struggle to switch to new loans. These borrowers are predominantly with closed book mortgage providers. Correspondence from the FCA to the Treasury Select Committee has shown that the number of borrowers with closed book mortgage providers have consistently declined since 2021.
There are significant measures in place to protect vulnerable mortgage borrowers across the mortgage market. FCA rules require lenders to engage individually with their customers who are struggling or who are worried about their payments in order to provide tailored support. Closed book lenders must also comply with the FCA’s Consumer Duty, which ensures firms prioritise fair treatment and good outcomes for their customers.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent estimate her Department has made of the number of homeowners who are unable to switch to a cheaper mortgage due to changes in the (a) lending regulations and (b) policies of their current lender.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
According to the Financial Conduct Authority (FCA), the vast majority of borrowers switch within 6 months of the end of an introductory deal. However, the Government understands the challenges facing mortgage borrowers that struggle to switch to new loans. These borrowers are predominantly with closed book mortgage providers. Correspondence from the FCA to the Treasury Select Committee has shown that the number of borrowers with closed book mortgage providers have consistently declined since 2021.
There are significant measures in place to protect vulnerable mortgage borrowers across the mortgage market. FCA rules require lenders to engage individually with their customers who are struggling or who are worried about their payments in order to provide tailored support. Closed book lenders must also comply with the FCA’s Consumer Duty, which ensures firms prioritise fair treatment and good outcomes for their customers.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether HMRC plans to improve its (a) telephone and (b) online chat services to ensure that people can receive human assistance when digital systems fail to provide information.
Answered by James Murray - Chief Secretary to the Treasury
Once they have submitted an A1 certificate renewal or other time-sensitive application, customers can use the “check when you can expect a reply from HMRC” tool which is available on gov.uk to confirm when they are likely to receive a response.
Customers can contact HMRC via telephony or web chat for urgent A1 applications. HMRC advisors will then decide if the case needs urgent escalation and will take it forward as appropriate. These cases relate to customers who need a certificate to work in another country.
HMRC are always seeking to improve their day to day performance including their telephony and webchat service. HMRC received extra funding last year to recruit more customer service advisers and, under the current Government, are focused on transforming services to better support taxpayers.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment she has made of the adequacy of the accessibility of HMRC's communication channels for people seeking urgent updates on (a) A1 certificate renewals and (b) other time-sensitive applications.
Answered by James Murray - Chief Secretary to the Treasury
Once they have submitted an A1 certificate renewal or other time-sensitive application, customers can use the “check when you can expect a reply from HMRC” tool which is available on gov.uk to confirm when they are likely to receive a response.
Customers can contact HMRC via telephony or web chat for urgent A1 applications. HMRC advisors will then decide if the case needs urgent escalation and will take it forward as appropriate. These cases relate to customers who need a certificate to work in another country.
HMRC are always seeking to improve their day to day performance including their telephony and webchat service. HMRC received extra funding last year to recruit more customer service advisers and, under the current Government, are focused on transforming services to better support taxpayers.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has had recent discussions with UK banks on the provision of (a) bank statements and (b) other financial documents in accessible formats for customers with visual impairments.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
The Government works closely with the Financial Conduct Authority (FCA), the independent regulator of the UK’s financial services sector, to ensure that all customers get the right support with their financial products and services.
FCA guidance highlights the actions firms should take to understand the needs of customers who may be vulnerable, such as those with visual impairments, and to consider these needs appropriately. The guidance sets out that firms should offer multiple channels of communication where possible and includes examples of how firms can put this into practice, such as by providing large print documents and audio options.
Additionally, under the Equality Act 2010, banks must make reasonable adjustments to ensure their services are accessible to all.
Asked by: Lisa Smart (Liberal Democrat - Hazel Grove)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to the Answer of 18 December 2024 to Question 20062 on Bank Services: Direct Debits, what steps her Department is taking to ensure that organisations receiving payments via Direct Debit are held accountable when they do not (a) verify that Direct Debit instructions have been properly authorised by the payment account holder and (b) provide advance notice of the (i) amount and (ii) collection date for each Direct Debit payment, except where an alternative arrangement has been explicitly agreed.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
Direct Debits are subject to rules made by Pay.UK, a private sector payment system operator that is regulated by the Bank of England and Payment Systems Regulator.
In order to receive Direct Debit payments, businesses and other organisations must be ‘sponsored’ by a Payment Service Provider (usually their bank or building society). Businesses undergo stringent checks to ensure their identity and that they understand their responsibilities and obligations when using the Direct Debit scheme. If a business does not comply with the rules Pay.UK has a range of sanctions available, including removing the business from the service altogether if necessary.
In the case of any incorrect or fraudulent payments, the account holder is entitled to an immediate refund of any unauthorised amounts collected from their account provider under the Direct Debit Guarantee scheme. Further information about Direct Debits is available at: www.directdebit.co.uk.