Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department has taken to promote the workplace nursery scheme; and how much has been spent promoting that scheme in each financial year since it was introduced.
Answered by Laura Trott - Chief Secretary to the Treasury
Workplace Nurseries formed part of Employer Supported Childcare (ESC), which closed for new applicants from 4 October 2018.
Employees already registered before 4th October 2018 are able to continue using the scheme for as long as the employer offers it, or as long as they stay with the employer.
ESC was replaced by Tax-Free Childcare in October 2018.
The Government continues to support parents with childcare, including through Tax-Free Childcare, the free hours childcare offer, and Universal Credit Childcare.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the level of usage of the workplace nursery scheme since it was introduced.
Answered by Laura Trott - Chief Secretary to the Treasury
Workplace Nurseries formed part of Employer Supported Childcare (ESC), which closed for new applicants from 4 October 2018.
Employees already registered before 4th October 2018 are able to continue using the scheme for as long as the employer offers it, or as long as they stay with the employer.
ESC was replaced by Tax-Free Childcare in October 2018.
The Government continues to support parents with childcare, including through Tax-Free Childcare, the free hours childcare offer, and Universal Credit Childcare.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make an estimate of the cost to the public purse of HMRC sending (a) paper self-assessment tax returns to people who complete their tax returns online for the 2023-24 financial year and (b) correction letters to those people.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
HMRC are aware that some customers who normally file their Self Assessment (SA) tax returns online have received a paper SA. These were sent in error, and customers who were expecting to file online should continue to do so. HMRC have written to everyone affected to apologise for the confusion and to reassure them that they do not need to take any action other than to file their return, which they can still do online, by the 31st January 2025.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many paper self-assessment tax returns were erroneously dispatched by HMRC to people who normally complete their self-assessment tax returns online in financial year 2023-24.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
HMRC are aware that some customers who normally file their Self Assessment (SA) tax returns online have received a paper SA. These were sent in error, and customers who were expecting to file online should continue to do so. HMRC have written to everyone affected to apologise for the confusion and to reassure them that they do not need to take any action other than to file their return, which they can still do online, by the 31st January 2025.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to update to the List of named tax avoidance schemes, promoters, enables and suppliers of 1 December 2023, what recent assessment he has made of the potential impact of changes to the loan charge that came into effect on 5 April 2019 on the financial wellbeing of freelancers.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
The Loan Charge was independently reviewed by Lord Morse, who considered the impacts of the policy on individuals. The Government accepted 19 of his 20 recommendations. These changes, such as removing loans made before 9 December 2010 from the scope of the Loan Charge, reduced the impact of the policy and removed aspects which were of wider concern.HMRC puts support for those affected at the core of its work to collect the Loan Charge and bring cases to settlement.
HMRC can agree an affordable and sustainable instalment plan based on taxpayers’ specific circumstances and for as long as they need. HMRC can also refer taxpayers for free debt advice that is independent from HMRC.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits of zero-rating for VAT school uniforms designed for children aged 14 or over.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
Under the current VAT rules, all children’s clothing and footwear designed for young children who are less than 14 years of age, including school uniforms, attract a zero-rate of VAT, meaning that no VAT is charged on the sale of these items.
In addition, certain school uniform items may also benefit from a zero rate of VAT irrespective of size. For instance, garments which bear a prominent logo, crest or badge identifying them as part of the official uniform of schools catering exclusively for children under 14 years of age can be zero-rated.
The UK is one of only two countries among the 37 OECD member countries to maintain a VAT relief for children’s clothing, which costs the Exchequer £2 billion per year.
Going further would impose additional pressure on the public finances, to which VAT makes a significant contribution. Whilst we have no current plans to extend the existing zero rate, we nevertheless keep all taxes under review.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of the revenue generated by charging VAT on school uniforms designed for children aged 14 or over in each of the last five years.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
The requested information on VAT revenues is not available. HMRC does not hold information on VAT revenue from specific products because businesses are not required to provide figures at a product level on their VAT returns, as this would impose an excessive administrative burden.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of the potential cost to the public purse of categorising uniforms as zero-rated for VAT.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
The requested information on VAT revenues is not available. HMRC does not hold information on VAT revenue from specific products because businesses are not required to provide figures at a product level on their VAT returns, as this would impose an excessive administrative burden.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, for what reason the policy costings of his decision to introduce 30 hours a week of free childcare for eligible working parents of children aged 9 months to 3 years are not included within HM Treasury's document entitled Spring Budget 2023: Policy Costings; and if he will publish those costings.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Policy Costings document sets out the assumptions and methodologies underlying costings for tax and annually managed expenditure (AME) policy decisions, where those policies have a fiscally significant impact on the public finances. These costings were submitted to the independent Office for Budget Responsibility (OBR) for scrutiny and were certified as part of the forecast process.
The Policy Costings document and process does not cover changes to Departmental Expenditure Limits (DEL) set at Spending Review 2021, including new childcare measures set out at Budget, as DEL spending is typically more predictable than AME. Forecasts for DEL spending are submitted to the OBR separately, and set out in Table 4.1 of the Budget document, which includes new childcare measures.
Asked by: Munira Wilson (Liberal Democrat - Twickenham)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department has approved gifts exceeding £300,000 made by (a) Government departments and (b) arms-length bodies through the (i) sale and (ii) lease of public assets at below market value since December 2019.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
Managing Public Money (MPM) states that if an asset is sold or leased at a loss, the proceeds forgone (compared to market value) should be treated as a gift. Departments should treat this gift in line with MPM, approved by HM Treasury and disclosed in Annual Report of Accounts to Parliament via Written Ministerial Statement. Following a review, HM Treasury has not identified any approvals given for gifts above £300,000 in value through the sale or lease of an asset below market value since 2019.