Asked by: Zarah Sultana (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many restaurants registered for the Eat Out to Help Out Scheme; how many meals were claimed through that scheme; and how much was claimed in each (i) Local Authority District, (ii) parliamentary constituency and (iii) Middle Layer Super Output Area in each week when that scheme was operational.
Answered by Jesse Norman
HMRC published official statistics on the Eat Out to Help Out scheme on 25 November. Local area statistics covering local authority district and parliamentary constituencies will be published at a later date. The requested information cannot be provided by middle layer super output area due to the risk of identifying individual taxpayers.
Asked by: Zarah Sultana (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits of reclassifying sunscreen products as essential healthcare items for VAT purposes.
Answered by Jesse Norman
Under the current VAT rules, sun protection products are subject to the standard rate of VAT. High-factor sunscreen is on the NHS prescription list for certain conditions and is provided VAT free when dispensed by a pharmacist.
Expanding the scope of the current VAT relief would come at a considerable cost to the Exchequer. Therefore, while all taxes are kept under review, there are currently no plans to reduce VAT on sunscreen products.
Asked by: Zarah Sultana (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made on the potential effect of the retail prices index (RPI) review on RPI-linked pensions.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Retail Prices Index (RPI) is a measure of inflation with a number of shortcomings. To address these shortcomings, the UK Statistics Authority (UKSA) has made a proposal to reform RPI by bringing the methods and data sources of the Consumer Prices Index including owner occupiers’ housing costs (CPIH) into RPI. Owing to the use of RPI in specific index-linked gilts, prior to 2030 the Chancellor’s consent to this proposal is required before it can be implemented.
At the Budget in March, the government and UKSA launched a consultation to consider whether UKSA’s proposal should be implemented at a date other than 2030, and, if so, when between 2025 and 2030. The consultation closed for responses on 21 August. As part of the consultation, the government sought views on the broader impacts of the proposed reform of RPI.
The consultation document can be found at the following link: https://www.gov.uk/government/consultations/a-consultation-on-the-reform-to-retail-prices-index-rpi-methodology.
As announced on 9 November, the government and UKSA will respond to the consultation alongside the Spending Review on 25 November.
The 9 November announcement can be found at the following link: https://www.gov.uk/government/publications/a-letter-from-rishi-sunak-to-sir-david-norgrove-on-the-date-of-the-government-and-uk-statistics-authoritys-response-to-their-joint-consultation-on-re.
Asked by: Zarah Sultana (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make representations to his overseas counterparts at the G20 Finance Ministers Meetings on the cancellation of developing countries' debts to the IMF and World Bank to help those countries tackle the covid-19 pandemic.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government is closely monitoring the impact of the crisis on the debt situation in developing countries, including through our membership of the International Monetary Fund, World Bank and Paris Club. It is clear that the COVID-19 pandemic is placing extraordinary pressures on the finances of low and middle income countries. Recognising this, the G20 has taken action to support these countries, agreeing the landmark DSSI (Debt Service Suspension Initiative).The DSSI provides a suspension of debt repayments to eligible countries so they can focus resources on their coronavirus response.
On the 14th October, the G20 Finance Ministers and Central Bank Governors (FMCBG) met. They agreed to extend the DSSI for a further six months and, importantly, reached an in principle agreement on a Common Framework on future debt treatments beyond the DSSI to facilitate timely and orderly debt treatment for DSSI-eligible countries where this is required.A further G20 FMCBG meeting is to take place in early November and the UK is asking all G20 countries to fulfil the necessary internal approvals to endorse and publish the Common Framework in due course.
Asked by: Zarah Sultana (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits of (a) debt cancellation for lower-income countries from Governments, the IMF and World Bank, the private sector and all other creditors for 2020 and 2021 and (b) bringing forward legislative proposals similar to the Debt Relief (Developing Countries) Act 2010 to enforce on the private sector the terms of an international agreement for debt relief.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government is concerned about the debt vulnerabilities of low-income developing countries, which have been exacerbated by the COVID-19 pandemic.
The UK cancelled most of our low-income developing country debt under the Heavily Indebted Poor Countries (HIPC) Initiative. However, we have remained a global leader in advancing sovereign debt transparency and sustainability. In April 2020 the Chancellor joined his G20 counterparts to commit to a temporary suspension on debt service repayments from the 77 poorest countries under the debt service suspension initiative (DSSI). To date, the DSSI has supported 43 countries which have requested suspensions by freeing up $5 billion to fund their COVID-19 responses. Given the depth of liquidity needs in these countries, the UK supports an extension of the DSSI into 2021.
The G20 agreed private sector DSSI participation should be voluntary and at borrowers’ discretion. The Government continues to support this approach, which helps protect these countries’ hard-won market access which will be essential for financing COVID recovery. Where borrowers do make requests, private creditors should implement the DSSI. Where sovereign debt reductions are necessary, it will be important for there to be fair and timely burden sharing between all creditor types, including commercial creditors.