Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits of introducing a four-day working week.
Answered by Kemi Badenoch - President of the Board of Trade
Enforcing a four-day working week would likely increase business costs at a time where we should be supporting businesses. We need to help businesses by creating and protecting jobs, not adding to their costs. This is why the Government has extended a number of Covid support schemes, such as the Coronavirus Job Retention Scheme, through the winter.
The UK’s flexible labour market allows employers to independently agree working arrangements with their workers. Enforcing a four-day working week would take that choice away from both workers and employers.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what progress his Department has made on responding to its consultation on pensions tax relief administration; and what the timeframe is for publishing a response to that consultation.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government recognises the different impacts of the two systems of paying pension tax relief on pension contributions for workers earning below the personal allowance. At Budget 2020, the Government announced it would launch a Call for Evidence on pensions tax relief administration, in line with its manifesto commitment to undertake a comprehensive review of this issue.
This Call for Evidence set out the Government’s views on proposals already put forward by stakeholders, invited further proposals, and sought views on the operation of the RAS method.
The Call for Evidence is now closed. The Government is analysing the responses and will respond in due course.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment he has made of the effect of the administration of pensions tax relief on low-income workers; and if he will make a statement.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government recognises the different impacts of the two systems of paying pension tax relief on pension contributions for workers earning below the personal allowance. At Budget 2020, the Government announced it would launch a Call for Evidence on pensions tax relief administration, in line with its manifesto commitment to undertake a comprehensive review of this issue.
This Call for Evidence set out the Government’s views on proposals already put forward by stakeholders, invited further proposals, and sought views on the operation of the RAS method.
The Call for Evidence is now closed. The Government is analysing the responses and will respond in due course.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent estimate he has made of the number of low-income workers with reduced take-home pay following application of pensions tax relief by pension scheme operators.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
HMRC has estimated the number of individuals earning below the personal allowance and making workplace pension contributions via Real Time Information (RTI) using net pay arrangements.
For 2017-18, when the personal allowance was £11,500, HMRC estimate the number of individuals to be 1.5 million.
HMRC’s Survey of Personal Income (SPI) and administrative data was used to produce the estimates. The 2017-18 SPI data (published in March 2020) is the latest year available.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he plans to bring forward legislative proposals to amend net pay pension schemes to ensure that people earning below the personal tax threshold can access their full tax relief entitlement.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government recognises the different impacts of the two systems of paying pension tax relief on pension contributions for workers earning below the personal allowance. At Budget 2020, the Government announced it would launch a Call for Evidence on pensions tax relief administration, in line with its manifesto commitment to undertake a comprehensive review of this issue.
This Call for Evidence set out the Government’s views on proposals already put forward by stakeholders, invited further proposals, and sought views on the operation of the RAS method.
The Call for Evidence is now closed. The Government is analysing the responses and will respond in due course.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking with Chancellor of the Exchequer to resolve net pay tax issues for low-income workers; and if he will make a statement.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government recognises the different impacts of the two systems of paying pension tax relief on pension contributions for workers earning below the personal allowance. At Budget 2020, the Government announced it would launch a Call for Evidence on pensions tax relief administration, in line with its manifesto commitment to undertake a comprehensive review of this issue.
This Call for Evidence set out the Government’s views on proposals already put forward by stakeholders, invited further proposals, and sought views on the operation of the RAS method.
The Call for Evidence is now closed. The Government is analysing the responses and will respond in due course.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will include tax exemptions relating to employee share schemes in the consultation on the Finance Bill 2021.
Answered by Jesse Norman
The Government offers four tax-advantaged employee share schemes: Share Incentive Plans (SIPs), the Save As You Earn (SAYE) scheme, Enterprise Management Incentives (EMI), and the Company Share Option Plan (CSOP).
The schemes enable employers to share financial rewards with staff, with both receiving tax benefits. This is ultimately intended to support recruitment and retention and help encourage employee productivity.
There are no current plans to change these schemes at the 2021 Finance Bill. The Government keeps all of the employee share schemes under review.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will establish an inquiry into the HMRC's administration of tax exemptions relating to employee share schemes.
Answered by Jesse Norman
The Government keeps all tax legislation under regular review and any changes are considered in line with its priorities. The Government does not plan to introduce legislation at this time to regulate the actions of trustees of employee share schemes.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what representations he has received on the potential merits of introducing legislation to resolve the dispute between HMRC and the trustee and beneficiaries of the Roadchef Employee Benefits Trust.
Answered by Jesse Norman
The administration of the tax system is a matter for HM Revenue and Customs and it would not be appropriate for Treasury ministers to become involved in the administration of the tax system in specific cases.
The Chancellor has received representations from some Members of Parliament on introducing legislation to resolve the Roadchef dispute.
The Government keeps all tax legislation under regular review and any changes are considered in line with Government priorities.
Asked by: Neil Gray (Scottish National Party - Airdrie and Shotts)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what plans he has to introduce legislative proposals to improve the regulation of the actions of trustees of employee share schemes.
Answered by Jesse Norman
The Government keeps all tax legislation under regular review and any changes are considered in line with its priorities. The Government does not plan to introduce legislation at this time to regulate the actions of trustees of employee share schemes.