Question to the HM Treasury:

To ask the Chancellor of the Exchequer, in the context of increases in the cost of living, if he will introduce a windfall tax on the companies that made profits from Government contracts relating to the covid-19 outbreak.

The Government recognises the challenges many are facing with pressures on household budgets. We are providing support worth over £20 billion across this financial year and next that will help families with the cost of living. This includes cutting the Universal Credit taper rate and increasing work allowances to make sure work pays, freezing alcohol and fuel duties to keep costs down, as well as the £9.1 billion package announced in February 2022 to help households with rising energy bills.

At Spring Budget 2021, the Chancellor announced an increase in the Corporation Tax rate, from 19 per cent to 25 per cent, from 2023 onwards. This will, by definition, only apply to companies that are making profits and will ensure that profitable businesses contribute their fair share in the task of restoring the public finances to a sustainable footing.

The Government keeps the UK tax system under constant review to ensure that it provides a fair and sustainable basis for funding for our vital public services.