Asked by: Noah Law (Labour - St Austell and Newquay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has had discussions with the National Wealth Fund on establishing a platform for geothermal investment to commercialise the industry.
Answered by James Murray - Chief Secretary to the Treasury
The Chancellor issued a new Statement of Strategic Priorities to the National Wealth Fund (NWF) on 19th March 2025, in which she set out that the NWF is at the forefront of investing public money for our future to help deliver the investment that underpins the Government’s growth and clean energy missions.
The Chancellor made clear that the NWF should prioritise investment into clean energy, digital and technologies, and advanced manufacturing, alongside transport sectors. An NWF investment into any geothermal project would be subject to the investment satisfying the NWF’s normal requirements for investable proposals.
Asked by: Noah Law (Labour - St Austell and Newquay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment with Cabinet colleagues of the potential merits of providing the Home Office with a (a) reduced and (b) flat cash settlement for in-donor refugee costs.
Answered by Darren Jones - Minister for Intergovernmental Relations
The Government is committed to ensuring that asylum costs fall and the Home Secretary has reduced in-donor refugee costs by taking action to reduce the asylum backlog and seeking to end the use of costly asylum hotels. We therefore anticipate further reductions to in-donor refugee costs in the next Spending Review period.
The Home Office’s Spending Review settlement will be subject to agreement with HM Treasury in the usual way.
Asked by: Noah Law (Labour - St Austell and Newquay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to ensure that banks are applying (a) Know Your Customer and (b) other compliance checks transparently for humanitarian charities operating in vulnerable countries.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
Banks are required to apply ‘know your customer’ and other checks to mitigate the risk that banks accounts may be used for money laundering or terrorist financing. The Treasury works closely with the Financial Conduct Authority and industry groups such as UK Finance to ensure that financial crime controls are applied proportionately and on a risk-sensitive basis.
The Treasury and the Home Office are currently updating the National Risk Assessment of Money Laundering and Terrorist Financing (NRA). This sets out the latest assessment of threats, including in relation to the risks to which charitable organisations operating overseas may be exposed, to help regulated firms to take account of these risks when applying financial crime controls. The updated NRA will be published later this year.
Asked by: Noah Law (Labour - St Austell and Newquay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of reducing VAT for admissions fees to indoor play centres for children under 12.
Answered by James Murray - Chief Secretary to the Treasury
VAT is a broad-based tax on consumption, and the 20 per cent standard rate applies to most goods and services. Tax breaks reduce the revenue available for vital public services and must represent value for money for the taxpayer.
One of the key considerations when assessing a new VAT relief is whether the cost saving is likely to be passed on to consumers. Evidence suggests that businesses only partially pass on any savings from lower VAT rates. The Government therefore has no plans to zero-rate VAT on admission fees for indoor play facilities.
The Government keeps all taxes under review.
Asked by: Noah Law (Labour - St Austell and Newquay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of introducing progressive banding for National Insurance.
Answered by James Murray - Chief Secretary to the Treasury
National Insurance contribution rates are part of an overall progressive system.
The personal allowance (PA) is set at £12,570 this year, meaning the first £12,570 an individual’s income is tax free. Above the PA, income tax is paid at 20 per cent, until the higher rate threshold of £50,270 above which income tax is paid at 40 per cent, and then 45 per cent for income above £125,140 per year (the additional rate threshold).
Employee NICs also start to be paid for earnings above £12,570 at 8 per cent, with this rate decreasing to 2 per cent above £50,270 per year. Taking NICs and income tax together, this means an overall progressive rate structure for earnings of 28 per cent for basic rate taxpayers, 42 per cent for higher rate taxpayers, and 47 per cent for additional rate taxpayers.
Asked by: Noah Law (Labour - St Austell and Newquay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will increase the speed at which reforms are conducted to the business rates system.
Answered by James Murray - Chief Secretary to the Treasury
We are creating a fairer business rates system that protects the high street, supports investment, and is fit for the 21st century.
The Non-Domestic Ratings Bill is currently passing through the House of Lords. The Bill will give Government the power to introduce permanently lower tax rates for high street retail, hospitality, and leisure properties, with rateable values below £500,000, from 2026-27. This permanent tax cut will ensure that they benefit from much-needed certainty and support. The rates for these new multipliers will be set at Budget 2025 in light of the outcomes of the revaluation.
At the Autumn Budget, we also published a Discussion Paper setting out priority areas for business rates reform and inviting stakeholders to co-design a fairer business rates system. Engagements are ongoing, and any further reforms will be phased over the course of the Parliament to minimise disruption for businesses.
Asked by: Noah Law (Labour - St Austell and Newquay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to her Department's policy paper entitled Summary of reforms to agricultural property relief and business property relief, published on 30 October 2024, if she will make an assessment of the potential merits of widening the consultation to consider (a) allowing relief on agricultural and business assets to roll over to a proprietor’s surviving spouse, (b) decoupling agricultural property relief and business property relief and (c) determining a measure of agricultural trading income suitable for use as a threshold to allow agricultural property relief to be claimed.
Answered by James Murray - Chief Secretary to the Treasury
The Government published information about the reforms to agricultural property relief and business property relief at www.gov.uk/government/publications/agricultural-property-relief-and-business-property-relief-reforms.
It is expected that up to around 2,000 estates will be affected by the changes to APR and BPR in 2026-27, with around half of those being claims that involve AIM shares. Almost three-quarters of estates claiming agricultural property relief (or those claiming agricultural property relief and business property relief together) are expected to be unaffected by these reforms.
The government will publish a technical consultation in early 2025. This will focus on the detailed application of the allowance to lifetime transfers into trusts and charges on trust property. This will inform the legislation to be included in a future Finance
In accordance with standard practice, a tax information and impact note will be published alongside the draft legislation before the relevant Finance Bill.
Asked by: Noah Law (Labour - St Austell and Newquay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will take steps to ensure that the National Wealth Fund is equipped to provide offtake finance and hedging instruments for the critical minerals industry.
Answered by Tulip Siddiq
With additional capital to deploy against an expanded mandate, the National Wealth Fund stands ready to help the market invest with confidence in support of the Government's growth ambitions.
The National Wealth Fund will be empowered via new tools such as performance guarantees and blended finance solutions to make investments that maximise mobilisation of private finance. This includes investments in the critical minerals sector.