(2 years, 9 months ago)
Lords ChamberI would certainly defer to my noble friend as someone who is an expert in this area, which I am not. It is extremely difficult to get the right balance in these things, because what one person would consider an intrusion, another would consider a protection. We have to remain alert and sensitive to the different forces, but what is most important is that we have a coherent system which is clamping down on an extremely complex and fast-evolving crime.
My Lords, in last year’s parliamentary debate on the Church Action for Tax Justice report Tax for the Common Good, the Minister assured us that progress was being made on reducing money laundering and financial fraud in our British Overseas Territories and Crown dependencies. Would he be able to update the House on this? If he cannot do so now, would he please write to me with information on the progress we are making?
It is important to remind the House that the overseas territories are independent entities and that we cannot just force them to comply with our own regulations. But we have an ongoing dialogue with them. For example, we have a very useful exchange of information through the exchange of notes arrangements, and they have agreed to introduce publicly accessible registers of companies’ beneficial ownership. The discussions are very much ongoing and I respect the right reverend Prelate’s concern.
(2 years, 11 months ago)
Lords ChamberMy Lords, the noble Lord tells only part of the story. A number of major fines have been imposed on financial institutions in the last few years: Deutsche Bank, £160 million in 2017; Standard Chartered, over £102 million in 2019; Commerce Bank, £37 million in 2020; and Goldman Sachs, £48 million in 2020. We have rigorous oversight and we continue to review it the whole time.
My Lords, earlier this year we held a debate on the Church Action for Tax Justice report Tax for the Common Good. When we discussed British Overseas Territories, we looked at the whole issue of tax havens and were assured that this was being addressed, yet the latest Pandora papers reveal that they are still used by shell companies to hide property sales and to avoid tax. Would the Minister agree that, since we are responsible for the defence of these territories, they have a duty to stop siphoning this money off from the UK?
My Lords, the right reverend Prelate is right to raise the issues in the Pandora papers and the jurisdictions he refers to, but we are making steady progress in closing the tax gap. Indeed, we have closed it by nearly a third in the last 15 years. In 2005-06 it was estimated at 7.5% and in the last year, 2019-20, it was down to 5.3%. In the last 10 years we have collected some £250 billion that would have been lost if these measures were not in place.
(3 years, 12 months ago)
Lords ChamberI share my noble friend’s concern about small businesses: it is absolutely ghastly for all these people. I want to explain to him that all eligible businesses in retail, hospitality and leisure will pay no business rates in England for 12 months from 1 April 2020 until March next year. This support is worth almost £10 billion to business, and an estimated 735,000 retail, hospitality and leisure properties will be included in this over that period. There is no rateable value threshold on the support; businesses large and small can benefit. In addition to the business rates holiday, the Government have announced further measures in response to the second lockdown: as I mentioned to the noble Baroness a moment ago, cash grants of up to £3,000 a month, and the extension of the Coronavirus Job Retention Scheme until 2 December.
My Lords, there has been a particular problem in the rental market, whereby renters and landlords have suffered as a result of these latest measures. Given the temporary protection from eviction for those living in tier 2 and 3 areas, could the Government confirm whether an eviction ban will now be extended across the country and whether they will now develop a strategy to help tackle arrears brought on by Covid to avoid a tragic spike in homelessness?
My Lords, we will keep all these issues under review. As the right reverend Prelate will probably be aware, we have extended payment holidays on mortgages and certain consumer credit products to take pressure off individuals. In relation to his rental suggestions, we will keep them under review and will keep the House notified.