Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how the assessment for electric Vehicle Excise Duty will differentiate between (a) domestic and (b) overseas mileage for (i) electric vehicles and (ii) plug-in hybrids.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
As announced at Budget 2025, the Government is introducing Electric Vehicle Excise Duty (eVED) from April 2028, a new mileage charge for electric and plug-in hybrid cars, recognising that EVs (electric vehicles) contribute to congestion and wear and tear on the roads but pay no equivalent to fuel duty. The taxation of motoring is a critical source of funding for public services and investment in infrastructure.
The Government has ruled out charging tax based on when or where people drive to protect motorists’ privacy. This means non-UK mileage driven by UK registered cars will fall into scope of eVED, as with fuel duty, which does not vary by basis of where a car is driven.
The vast majority of eVED will be paid on travel in the UK; there were an estimated 225 billion car miles in Great Britain in 2024, and over nine billion miles travelled by car in Northern Ireland in 2023.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how the assessment for electric Vehicle Excise Duty will differentiate between (a) petrol, (b) diesel and (c) electricity usage for plug-in hybrids.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
As announced at Budget 2025, the Government is introducing Electric Vehicle Excise Duty (eVED) from April 2028, a new mileage charge for electric and plug-in hybrid cars, recognising that EVs contribute to congestion and wear and tear on the roads but pay no equivalent to fuel duty. The taxation of motoring is a critical source of funding for public services and investment in infrastructure.
eVED rates will be set at 3p per mile for electric cars, which is around half of the fuel duty rate paid by the average petrol/diesel driver, and 1.5p per mile for plug-in hybrid cars, given that they will continue to be subject to fuel duty on miles driven in petrol/diesel mode.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will carry out a public consultation on removing (a) racehorse training yards and (b) racecourses from the Retail, Hospitality, and Leisure business rate relief scheme.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government is introducing new permanently lower business rates tax rates for retail, hospitality and leisure (RHL) properties with rateable values below £500,000.
On 16 October 2025, the Government published legislation and accompanying guidance detailing the eligibility criteria for the new multipliers. To ensure the new tax rates are appropriately targeted, only properties that are wholly or mainly used for providing RHL activity (as defined in legislation) to visiting members of the public are eligible for the new multipliers. This is in line with the eligibility criteria for the current RHL business rates relief, and includes racecourses and racehorse training grounds with retable values below £500,000 that are open to members of the public. Further details on what is meant by “visiting members of the public” can be found online here: https://www.gov.uk/guidance/business-rates-multipliers-qualifying-retail-hospitality-or-leisure.
As the Government has not removed racehorse training yards and racecourses from being eligible for RHL business rates support, the Government does not intend to public a consultation on this.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has carried out an impact assessment on removing (a) racehorse training yards and (b) racecourses from the Retail, Hospitality, and Leisure business rate relief scheme.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government is introducing new permanently lower business rates tax rates for retail, hospitality and leisure (RHL) properties with rateable values below £500,000.
On 16 October 2025, the Government published legislation and accompanying guidance detailing the eligibility criteria for the new multipliers. To ensure the new tax rates are appropriately targeted, only properties that are wholly or mainly used for providing RHL activity (as defined in legislation) to visiting members of the public are eligible for the new multipliers.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate she has made of the cost of removing (a) racehorse training yards and (b) racecourses from the Retail, Hospitality, and Leisure business rate relief scheme.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government is introducing new permanently lower business rates tax rates for retail, hospitality and leisure (RHL) properties with rateable values below £500,000.
On 16 October 2025, the Government published legislation and accompanying guidance detailing the eligibility criteria for the new multipliers. To ensure the new tax rates are appropriately targeted, only properties that are wholly or mainly used for providing RHL activity (as defined in legislation) to visiting members of the public are eligible for the new multipliers.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, for what reason (a) racehorse training yards and (b) racecourses have been removed from the Retail, Hospitality, and Leisure business rate relief scheme.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government is introducing new permanently lower business rates tax rates for retail, hospitality and leisure (RHL) properties with rateable values below £500,000.
On 16 October 2025, the Government published legislation and accompanying guidance detailing the eligibility criteria for the new multipliers. To ensure the new tax rates are appropriately targeted, only properties that are wholly or mainly used for providing RHL activity (as defined in legislation) to visiting members of the public are eligible for the new multipliers.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how much in remittances by country of destination has been sent from the UK in each year since 2020.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The Treasury does not collect or report data on the flow of remittances out of the UK and has not under previous governments. The UK imposes taxes based on individual’s residence status. Individuals who are resident in the UK are taxable on their income and gains that arise worldwide. Remitting funds outside of the UK is not generally considered to be a chargeable event for individuals. It should also be noted that funds being remitted will often have been subject to UK tax, such as income tax, if funded from earnings.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential merits of introducing a tax on remittance flows.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The Treasury does not collect or report data on the flow of remittances out of the UK and has not under previous governments. The UK imposes taxes based on individual’s residence status. Individuals who are resident in the UK are taxable on their income and gains that arise worldwide. Remitting funds outside of the UK is not generally considered to be a chargeable event for individuals. It should also be noted that funds being remitted will often have been subject to UK tax, such as income tax, if funded from earnings.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the charging of (a) interest and (b) compound interest on Equity Release Loans by financial services companies on (i) elderly customers and (ii) relatives of deceased customers.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
Decisions concerning the design of loans, including the interest charged, are commercial decisions for firms in which the Government does not intervene.
However, equity release products are regulated by the Financial Conduct Authority and so benefit from consumer protections under the Financial Conduct Authority’s rules, including requiring lenders to engage and provide tailored support to their customers and that advertising is clear, fair and not misleading. Anyone considering equity release should seek independent financial advice to help ensure that the product is suitable for their individual needs.
The Equity Release Council, which represents the sector, also promotes high standards of conduct and practice across the industry.
Asked by: Nick Timothy (Conservative - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to allocate revenues from carbon pricing to help increase levels of (a) industrial resilience and (b) innovation in high energy-consuming sectors.
Answered by James Murray - Chief Secretary to the Treasury
The Government is committed to maintaining an ambitious carbon pricing scheme to ensure that polluters continue to pay for their emissions. The UK’s lead carbon pricing policy is the UK Emissions Trading Scheme (ETS).
The ETS raised c.£3.5 billion in the 2024-25 financial year, and the funds raised by the scheme are invested in the Government’s spending priorities, including public services and decarbonisation efforts. The Government is also providing support for industrial energy bills as set out in the Industrial Strategy.