Asked by: Gregory Campbell (Democratic Unionist Party - East Londonderry)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will have discussions with financial institutions to establish which additional banks will participate in the roll out of banking hubs.
Answered by Tulip Siddiq
Banking hubs are a voluntary service developed by the financial services sector in the context of legislation to protect access to cash under the Financial Services Act 2023. Their rollout is overseen by Cash Access UK, a not-for-profit company set up and funded by industry for the purpose of delivering shared access to cash solutions. Membership of Cash Access UK and involvement in banking hubs is voluntary, and it is possible for banks and building societies in scope of the FCA’s access to cash regime to choose to meet their cash access obligations through other methods, for example their branch network.
However, the Government understands the importance of face-to-face banking to communities and is committed to championing sufficient access for all as a priority. This is why the Government is working closely with industry to roll out 350 banking hubs across the UK. The UK banking sector has committed to deliver these hubs by the end of this parliament. Over 175 hubs have been announced so far, and over 100 are already open.
Asked by: Gregory Campbell (Democratic Unionist Party - East Londonderry)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent estimate she has made of the change in GDP per capita by 2030.
Answered by Tulip Siddiq
GDP per capita is projected by the independent Office for Budget Responsibility (OBR) to grow by an annual average of 1.1% over this parliament.The government, as set out in the Plan for Change, is committed to kickstarting economic growth. This will fund our public services, lead to more people in good jobs, higher living standards and productivity growth in every part of the United Kingdom.
As set out at the Autumn Budget 2024, through the seven pillars of the growth mission, the Government is restoring stability, increasing investment, and reforming the economy. Growth can only be achieved in partnership with business, so we will develop and deliver these policies together.
Asked by: James Cartlidge (Conservative - South Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of recent trends in borrowing costs on the Government's capacity to increase defence spending to 2.5% of GDP expenditure.
Answered by Darren Jones - Chief Secretary to the Treasury
This government is fully committed to economic stability and sound public finances. That is why the Chancellor has made clear that meeting the fiscal rules is non-negotiable.
Economic stability is one of the foundations that underpins the Prime Minister's Plan for Change, and the government has restored it with tough decisions, strict spending rules and robust institutions.
The Spending Review will rewire government spending, to deliver the Plan for Change priorities, focusing on driving growth and reforming public services, whilst living within the spending envelope that has been set out.
The first duty of government is to keep the country safe and protect our citizens. Under this government the Ministry of Defence’s budget is increasing by £2.9 billion from 2024-25 to 2025-26. It means the Defence budget will grow in line with the economy in 2025-26, ensuring the UK comfortably exceeds the NATO target of 2% of GDP.
As the Chancellor set out at Budget, we will set a path to spending 2.5% of GDP on defence at a future fiscal event.
Asked by: Mike Wood (Conservative - Kingswinford and South Staffordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the policy paper entitled Plan for Change, published on 5 December 2024, CP1210, if she will make it her policy to publish an annual spending review for the milestones set out in the Plan for Change showing how much funding has been (a) allocated, (b) spent and (c) reallocated for each of the five milestones.
Answered by Darren Jones - Chief Secretary to the Treasury
The Prime Minister’s Plan for Change sets out the government’s agenda and priorities for the remainder of this Parliament, to strengthen our country through a decade of national renewal. The Spending Review will deliver on this agenda.
Phase 1 of the Spending Review was published alongside Autumn Budget 2024, resetting budgets for 2024-25 and setting departmental budgets for 2025-26. Phase 2 of the Spending Review will conclude later this year and the milestones announced in the PfC will be the core priorities. Phase 2 will allocate departmental budgets between 2026-27 and 2028-29, with an additional year (2029-30) for capital spending.
The government has committed to regular Spending Reviews, allocating all departmental spending, every two years to provide a more stable and transparent spending framework.
Asked by: Mike Wood (Conservative - Kingswinford and South Staffordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the written statement entitled Plan for Change: Milestones for mission-led Government, published on 5 December 2024, HCWS285, and the policy paper entitled Plan for Change, published on 5 December 2024, CP1210, whether funding announced in the Plan for Change includes funding previously announced by the Government; and whether there will be Barnett consequential funding for devolved administrations.
Answered by Darren Jones - Chief Secretary to the Treasury
The government sets out its plans for departmental expenditure at regular Spending Reviews. The current Spending Review (SR25) is split into two phases.
Phase 1 of the Spending Review was published alongside Autumn Budget 2024, resetting budgets for 2024-25 and setting departmental budgets for 2025-26, including funding which will support delivery of the Plan for Change priorities. Autumn Budget confirmed the largest real-terms funding settlement for the Devolved Governments since devolution.
Phase 2 of the Spending Review will conclude later this year and the milestones announced in the Plan for Change will be the core priorities. Phase 2 will allocate departmental budgets between 2026-27 and 2028-29, with an additional year (2029-30) for capital spending. The Barnett formula will continue to apply in the usual way.
Asked by: James McMurdock (Reform UK - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the adequacy of HMRC's policies on supporting victims of fraud.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Treasury and HMRC have frequent discussions on a wide range of issues relating to policy development and delivery. Furthermore, HMRC regularly review their policies on the support they provide to customers who need extra help, which includes but is not limited to victims of fraud.
Asked by: James McMurdock (Reform UK - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent discussions her Department has had with victims of fraud on their experiences with HMRC.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Treasury and HMRC have frequent discussions on a wide range of issues relating to policy development and delivery. Furthermore, HMRC regularly review their policies on the support they provide to customers who need extra help, which includes but is not limited to victims of fraud.
Asked by: James McMurdock (Reform UK - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to the Answer of 7 January 2025 to Question 21166 on Fraud: Compensation, what discussions her Department has had with HMRC on victims of fraud being taxed on the money taken from them.
Answered by James Murray - Exchequer Secretary (HM Treasury)
HMT has ongoing discussions with HMRC on all aspects of the tax system.
Asked by: Lord Booth-Smith (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government how much they estimate the typical restaurant, café, bar or pub will pay in business rates, factoring in the retail, hospitality and leisure relief, for 2025–26 relative to 2024–25.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
Without any Government intervention, Retail, Hospitality and Leisure relief would have ended entirely in April 2025, creating a cliff-edge for businesses. Instead, the Government has decided to offer a 40 per cent discount to Retail, Hospitality and Leisure properties up to a cash cap of £110,0000 per business in 2025-26 and frozen the small business multiplier.
By tapering Retail, Hospitality and Leisure relief to 40%, rather than letting it end, the government has saved the average pub, with a rateable value (RV) of £16,800, over £3,300 in 2025.
At Budget, the Government also announced that from 2026-27, it intends to introduce permanently lower tax rates for high street RHL properties. This permanent tax cut will ensure that they benefit from much-needed certainty and support. The Government intends to fund this by introducing a higher multiplier on the most valuable properties, which includes the majority of large distribution warehouses, including warehouses used by online giants.
The rates for any new business rate multipliers will be set at Budget 2025 so that the Government can take into account the upcoming revaluation outcomes as well as the economic and fiscal context.
Asked by: Mike Wood (Conservative - Kingswinford and South Staffordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the policy paper entitled Plan for Change, published on 5 December 2024, CP1210, what metrics she plans to use to measure progress towards the target to deliver the highest sustained growth in the G7.
Answered by Tulip Siddiq
Improving economic growth is one of the core missions of the government and our Plan for Change. We aim to have the highest growth in the G7 by the end of the parliament, measured using estimates of real terms Gross Domestic Product per capita.