Business Rates

Meg Hillier Excerpts

Tuesday 27th January 2026 Commons Chamber

[Mr Speaker]

I call the Chair of the Treasury Committee.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

I welcome the support for music venues as well as pubs in my constituency. I also welcome the Minister’s engagement and willingness to speak to the Select Committee and to be questioned by us. I am sure, Mr Speaker, you would agree that it would increase the Minister’s favour in your eyes were he to do that with dispatch and not leave it for too many weeks, so I thank the Minister for his engagement on that.

On the wider issues of business rates, changes have been announced, but will the Minister outline the timeframe within which we will see a significant change? It was a Labour manifesto commitment to change business rates, but it will take time because of the valuation procedure. Does he propose to change that wholesale, and in what timeframe? Businesses of all types, including pubs, need certainty most of all, so that they know the trajectory in good time and can plan.

[Dan Tomlinson]

The review of the methodology for pubs that we have announced today will be conducted as rapidly as possible, and I hope that it will conclude this year. We also want to look closely at the methodology used to value hotels, which is similar but not quite the same as that used for pubs. I am sure we will get into that in Committee in due course. We want to ensure that those reviews about the changes to the methodology conclude in good time for the next revaluation, which is set to come into operation in 2029. My hon. Friend asks about the Government’s ambition to rebalance the system. As I outlined, last year’s Budget introduced a significant rebalancing, with the largest businesses having a tax rate multiplier that is 33% higher than that of typical businesses on the high street. I look forward to continuing to engage with hon. Members and businesses on business rates in the run up to the Budget in the usual way.

Oral Answers to Questions

Meg Hillier Excerpts

Tuesday 27th January 2026 Commons Chamber

[Mr Speaker]

I call the Chair of the Treasury Committee.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

As well as the British Business Bank, the National Wealth Fund plays a crucial part in investing taxpayers’ money. I welcome the Government’s response to the Select Committee’s report on that issue. Will the Minister indicate when the National Wealth Fund will have the ability to borrow from private markets in order to increase its independence, secure funding for infrastructure, and get the taxpayer off the hook?

[Lucy Rigby]

It is absolutely right that we have increased the amount of funding going into the National Wealth Fund. On my hon. Friend’s specific question, my understanding is that we have not set a date, but I am more than happy to write to her with further information—to the extent that it exists.

Business Rates: Retail, Hospitality and Leisure

Meg Hillier Excerpts

Monday 19th January 2026 Commons Chamber

[Mr Speaker]

I call the Chair of the Treasury Committee.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

Many pubs in my constituency are seeing eye-watering increases in business rates. We know from the Valuation Office Agency, which gave evidence to the Treasury Committee last week, that the formula used is the same formula that has been used for 20 years. This should have been no surprise, as the shadow Chancellor said, yet we learned in that meeting that more than 2,000 pubs have had their business rates doubled. This Government came in with a mission to transform business rates, and they came in part way through a valuation cycle. Aside from the question of what will happen to the hospitality sector, where are the plans for the reform of business rates in the medium to long term?

[Dan Tomlinson]

I thank my hon. Friend for her leadership of the Treasury Committee. At the Budget, we set out the first significant fundamental reform of the business rates system that we have ever seen. For the first time, there is a very significant divergence in the tax rate paid by businesses on our high streets and by the very largest businesses, including online giants. The tax rate is around 13p lower for high street businesses than it is for the largest businesses. That is a 25% reduction, which cost around £1 billion. It is a £1 billion reduction for businesses on the high street, paid for by higher taxes on those who can most afford it.

Oral Answers to Questions

Meg Hillier Excerpts

Tuesday 9th December 2025 Commons Chamber

[The Economic Secretary to the Treasury (Lucy Rigby)]

The Government of course recognise that innovation is key to our long-term economic growth and to higher productivity, and indeed to living standards. That is exactly why we are investing more in R&D, and we have made other incentives available too.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

It has been a rocky week for the Office for Budget Responsibility, so I am glad that the Chief Secretary to the Treasury recognises and has reiterated the value of an independent regulator in this space. Nevertheless, a lot of criticism of the OBR is swirling around. Would the Chief Secretary or the Chancellor like to remind people about the role of the fiscal risks and sustainability report, which does look longer term at the economy, and the importance that this has in planning? As the Chancellor said, it is not destiny just because of the figures, but that report is particularly useful in that respect.

[Rachel Reeves]

I have huge respect for the Office for Budget Responsibility, and I reappointed Richard Hughes for a second term earlier this year. We deeply regret the publication of the Budget document ahead of the Budget. Richard Hughes has apologised for that and has resigned, but I thanked him for his leadership of the OBR. My hon. Friend is right to point to the longer-term risks that the OBR also points out. That is why at the Budget we took measures on electric vehicles and on high-value properties, because we need to reform the tax system so that it works for the future.

OBR: Resignation of Chair

Meg Hillier Excerpts

Wednesday 3rd December 2025 Commons Chamber

[James Murray]

I thank the shadow Chancellor for his questions. As I made clear in my opening remarks, the decision for Richard Hughes to resign was a matter for Mr Hughes himself. I referred in my earlier remarks to the media reporting of the letter that the OBR published. The publication of that letter was agreed to by the Chancellor; it is completely untrue to suggest otherwise.

The reason for publishing the letter was the unique nature of the Budget and the context of the OBR’s productivity review, as it said itself, while acknowledging that that would not become usual practice owing to the importance of preserving a private space for discussions. We are completely committed to the OBR’s independence; it is a vital part of our fiscal framework. In fact, one of the first acts of this Parliament was to introduce a fiscal lock so that the OBR could never be sidelined.

The shadow Chancellor also referred to comments by Professor Miles at the Treasury Committee earlier this week. I note that, among his remarks, Professor Miles was very keen to be clear that the positive headroom number in the forecast of 31 October did not in any way suggest that the OBR assessment was that the fiscal outlook was problem-free.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

When I last spoke in this House, Richard Hughes was still chair of the OBR. I pay tribute to him. He was a tenacious champion for its independence. A highly intellectual man, he ably led that organisation and made an honourable decision to take responsibility for what happened last Wednesday.

The Minister says that a leak inquiry is under way in the Treasury; leak inquiries have a habit of not finding someone responsible. But if somebody is found responsible, will they follow the lead set by Richard Hughes?

Office for Budget Responsibility Forecasts

Meg Hillier Excerpts

Monday 1st December 2025 Commons Chamber

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

Thank you, Mr Speaker—[Interruption.]

[Mr Speaker]

Order. Members have to learn that they cannot run in front of other Members when they are speaking, please. It looks really bad on TV, and it is not courteous.

[Dame Meg Hillier]

I, too, welcome the fact that the OBR has put its report out so quickly, so that it can put its house in order and make sure this never happens again. I have been saddened and troubled by the number of leaks, advertent and inadvertent, during the Budget process. Will the Chief Secretary please assure the House that there will be proper discussion in Government about how to prevent them? I need only point him to the words of the permanent secretary at the Treasury to the Treasury Committee on 12 February this year, when he was very clear that leaks can be market moving and must not happen. Let us be clear that the Debt Management Office was still trading during the Budget process, and was selling gilts at a higher price as a result.

[James Murray]

Mr Speaker, I can reassure my hon. Friend, you and the whole House that this Government take the Budget process and their responsibilities to this House very seriously. As I mentioned earlier, the permanent secretary has made it clear that the Treasury puts the utmost weight on Budget security. The permanent secretary made it clear in his letter to the shadow Chancellor that he will continue to keep all aspects under review to ensure the integrity of the Budget process.

Budget: Press Briefings

Meg Hillier Excerpts

Monday 17th November 2025 Commons Chamber

[Mr Speaker]

I call the Chair of the Treasury Committee.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

There has been either a leak or wild speculation about the Budget, and it would be helpful if the Minister could advise us which it is. In doing so, could he outline—as he will obviously not go into detail, quite rightly, a week before the Budget—what this Budget’s strategic objectives are for the country?

[James Murray]

I thank my hon. Friend for her question. Regrettably, there is always noise and speculation ahead of a Budget, but I am not going to comment on that speculation. As the Chancellor set out in her speech earlier this month, although we face challenges going into the Budget, we are very clear about the priorities of this Government, which are to make the public finances more resilient, to reduce inflationary pressures and to bring down the costs of borrowing, because that is the way we can focus on the priorities of the British people—the NHS, the cost of living and getting debt down.

Oral Answers to Questions

Meg Hillier Excerpts

Tuesday 4th November 2025 Commons Chamber

[Mr Speaker]

I call the Chair of the Treasury Committee.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

The Treasury Committee looks at HMRC’s customer service. We have recently seen people having their child benefit stopped, ostensibly on the basis of travel data. Could the Minister explain what he is doing to resolve this issue and what data HMRC based its information on?

[Dan Tomlinson]

I thank my hon. Friend for her service on the Treasury Committee; she is doing a sterling job as its Chair. This is a really important issue. Last year HMRC undertook a pilot to try to find a way to reduce fraud in the child benefit system. That measure is expected to save £350 million over the next five years, and we have already managed to prevent £17 million in wrongful payments, but my hon. Friend is right to say that a very small number of claimants had their child benefit incorrectly removed. I am really sorry that that happened. HMRC is writing to those who have been affected and ensuring that people who should get their child benefit payments do receive them.

Oral Answers to Questions

Meg Hillier Excerpts

Tuesday 9th September 2025 Commons Chamber

[Mr Speaker]

I call the Chair of the Treasury Committee.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

I welcome my right hon. Friend’s commitment to the hope of decent homes. In my constituency, children and families are leaving in droves and schools are closing because of a lack of properly affordable housing. She knows, as I do, that whatever we do in planning, without the skills that we need to build those homes, there will be a block there. Is she working with the new Secretary of State for Work and Pensions, who now has the skills brief, to ensure that we are investing in those skills and super-turbocharging the people who can help to build those homes?

[Rachel Reeves]

Just this September, new construction colleges have started opening around the country to train up the next generation of builders, plumbers and engineers, so that we can build both the housing infrastructure and the other infrastructure our country desperately needs. We have reformed the apprenticeship system, so that we can have more foundation apprenticeships for a shorter period of time to quickly get people the skills they need. Not requiring people to have a grade C or equivalent in maths and English to access an apprenticeship programme is also so important for young children who maybe did not get the grades they wanted in their GCSEs, but deserve a chance of a good apprenticeship and a job offering a decent wage.

Financial Services Reform

Meg Hillier Excerpts

Wednesday 16th July 2025 Commons Chamber

[Mr Speaker]

I call the Chair of the Treasury Committee.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

I thank the Minister for the statement and look forward to the Treasury Committee talking to—or interrogating—her, and indeed the Chancellor, about the detail as it emerges. Since the election, one of the things the Government have been talking about, leading on from the previous Government, is the secondary remit letters to the regulators about encouraging growth as a secondary objective. Can she tell us when the Government will be clear about their own appetite for risk in the sector so that both firms and the regulators know how far the Government will be prepared to go? She and I know from our experience in this place that if too many consumers suffer under any changes, this place is where that will be raised, and then there is a tendency for the Government to turn around and say, “Well, you went too far.” For the sake of the sector, the regulator and our constituents, will she tell us—or will she tell us when she can—where the Government’s line on risk will fall?

[Emma Reynolds]

I thank my hon. Friend for that thoughtful question. I am happy to talk to the Committee about that in more detail. What I will say is that the Leeds reforms regulate for growth instead of seeking to eliminate risk from the system altogether. We know that in order to get greater returns, there is a need to take informed risk. The reforms will enable firms and consumers to take informed risks. But we will always support the regulators and legislate in a way that protects consumers from bad practices and bad actors.