Asked by: Lee Dillon (Liberal Democrat - Newbury)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of bank branch closures in rural areas on customers reliant on in-person banking services.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
Banking is changing, with many customers benefitting from the convenience and flexibility of managing their finances remotely. However, the Government understands the importance of in-person banking services to communities and high streets and is committed to supporting the financial services industry’s roll-out of 350 banking hubs by the end of this Parliament. Over 270 hubs have been announced so far, and more than 225 are already open.
Where banks make commercial decisions to reduce their branch network, they are required by the Financial Conduct Authority (FCA) to carefully consider the impact on customers’ everyday banking and cash access needs and to put appropriate alternative arrangements in place, where needed.
Banking hub locations are independently recommended by LINK, the operator of UK’s largest ATM network. When a bank branch closes, or there is a material change to a cash service, or a community request is received, LINK conducts an access to cash assessment under the access to cash regime set out in the Financial Services and Markets Act 2023. In its assessments, LINK takes into consideration a wide range of criteria, including population demographics and public transport links. The criteria also differentiate between rural and urban areas, with a wider three-mile catchment applied in rural locations to recognise that villages often depend on nearby market towns.
Customers can also access everyday banking services through the Post Office. The Post Office Banking Framework allows personal and business customers to withdraw and deposit cash, check balances and pay bills at over 10,000 Post Office branches across the UK.
Some banks also provide points of access through initiatives such as pop-up services in libraries and community centres, or mobile banking vans serving rural and remote areas. The Government supports initiatives which give customers access to in-person banking, as well as digital access.
The Government keeps the effectiveness of current arrangements under review through regular engagement with stakeholders to ensure they meet the needs of local communities.
Asked by: Lee Dillon (Liberal Democrat - Newbury)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what support she is providing to facilitate the establishment of banking hubs in high streets, including in Newbury.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
Banking is changing, with many customers benefitting from the convenience and flexibility of managing their finances remotely. However, the Government understands the importance of in-person banking services to communities and high streets and is committed to supporting the financial services industry’s roll-out of 350 banking hubs by the end of this Parliament. Over 270 hubs have been announced so far, and more than 225 are already open.
Where banks make commercial decisions to reduce their branch network, they are required by the Financial Conduct Authority (FCA) to carefully consider the impact on customers’ everyday banking and cash access needs and to put appropriate alternative arrangements in place, where needed.
Banking hub locations are independently recommended by LINK, the operator of UK’s largest ATM network. When a bank branch closes, or there is a material change to a cash service, or a community request is received, LINK conducts an access to cash assessment under the access to cash regime set out in the Financial Services and Markets Act 2023. In its assessments, LINK takes into consideration a wide range of criteria, including population demographics and public transport links. The criteria also differentiate between rural and urban areas, with a wider three-mile catchment applied in rural locations to recognise that villages often depend on nearby market towns.
Customers can also access everyday banking services through the Post Office. The Post Office Banking Framework allows personal and business customers to withdraw and deposit cash, check balances and pay bills at over 10,000 Post Office branches across the UK.
Some banks also provide points of access through initiatives such as pop-up services in libraries and community centres, or mobile banking vans serving rural and remote areas. The Government supports initiatives which give customers access to in-person banking, as well as digital access.
The Government keeps the effectiveness of current arrangements under review through regular engagement with stakeholders to ensure they meet the needs of local communities.
Asked by: Grahame Morris (Labour - Easington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, hat are the staffing projection figures, given in full-time equivalent supply numbers before any rebalance, in HMRC Customer Service Group for the following directorates, (a) Benefits, Family and Customs, including Contingent Labour (CL) (Benefits, Family & Customs), (b) Debt Management, (c) Personal Tax (including Contingent Labour & Managed Service Provider), (d) Operational Excellence, (e) Strategy and Change, (f) Finance, Planning and Performance, (g) Operational Delivery Profession, (h) Customer Experience Directorate and (i) Surge Rapid Response Team used in Customer Services Group.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
Improving day-to-day performance and the customer experience is a key priority for HMRC.
HMRC expects to continue to use a range of resourcing models, alongside the use of MSPs, to meet variable customer demand.
HMRC is currently in an initial approximately 18 month ‘proof of value’ phase for its use of MSPs and has no plans to publish full staffing projections for MSPs or customer services staff at this stage. Future workforce decisions will be informed by the outcome of this phase and taken in line with normal business planning and Spending Review processes.
Asked by: Grahame Morris (Labour - Easington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what is the HMRC Personal Tax (PT) Directorate workforce distribution projection, including Managed Service Provider provision for (a) Total Personal Tax Paid Supply, (b) Permanent Supply, (c) Contingent Labour, (d) Surge, (e) Flex Moves, (f) Managed Service Provider, (g) Personal Tax Effective Supply, (h) Recruitment and (i) Speed to Competency for new recruits in each month from April 2026 to March 2027 inclusive.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
Improving day-to-day performance and the customer experience is a key priority for HMRC.
HMRC expects to continue to use a range of resourcing models, alongside the use of MSPs, to meet variable customer demand.
HMRC is currently in an initial approximately 18 month ‘proof of value’ phase for its use of MSPs and has no plans to publish full staffing projections for MSPs or customer services staff at this stage. Future workforce decisions will be informed by the outcome of this phase and taken in line with normal business planning and Spending Review processes.
Asked by: Grahame Morris (Labour - Easington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what are the HMRC Customer Service Group outputs – Baseline Plan, as of 12 February 2026, for each month from April 2026 to March 2027 for the Customer Service Group, excluding Debt Management, for (a) FTE Total (Paid Supply, including Contingent Labour & Surge and (b) Managed Service Provider Total.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
Improving day-to-day performance and the customer experience is a key priority for HMRC.
HMRC expects to continue to use a range of resourcing models, alongside the use of MSPs, to meet variable customer demand.
HMRC is currently in an initial approximately 18 month ‘proof of value’ phase for its use of MSPs and has no plans to publish full staffing projections for MSPs or customer services staff at this stage. Future workforce decisions will be informed by the outcome of this phase and taken in line with normal business planning and Spending Review processes.
Asked by: Phil Brickell (Labour - Bolton West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what the (a) annual budget and (b) number of staff was for HMRC's Fraud Investigation Service in each of the last five years.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
HMRC does not routinely publish annual budget or staffing figures for the Fraud Investigation Service.
Asked by: Grahame Morris (Labour - Easington)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment HMRC has made of the net staffing impact of the Managed Service Provider, taking account of both Managed Service Provider recruitment and HMRC staffing levels.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
Improving day-to-day performance and the customer experience is a key priority for HMRC.
HMRC expects to continue to use a range of resourcing models, alongside the use of MSPs, to meet variable customer demand.
HMRC is currently in an initial approximately 18 month ‘proof of value’ phase for its use of MSPs and has no plans to publish full staffing projections for MSPs or customer services staff at this stage. Future workforce decisions will be informed by the outcome of this phase and taken in line with normal business planning and Spending Review processes.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment she has made of the impact of fuel duty on a) inflation and b) the cost of living.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government recognises the impact of fuel costs on household budgets and is already taking action to help keep fuel prices down. Since Autumn Budget 2024, the Government’s decisions to freeze fuel duty will save the average motorist around 8 to 11 pence per litre, compared to the plans inherited from the previous government.
The Office for Budget Responsibility (OBR) set out the impact of policy measures on inflation in its Autumn Budget 2025 forecast, including the fuel duty freeze extension announced at that Budget. The OBR forecast that this measure will reduce CPI inflation by around 0.13 percentage points in 2026/27.
Asked by: Andy McDonald (Labour - Middlesbrough and Thornaby East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what HMRC’s projected Managed Service Provider headcount is for the (a) next 12 months and (b) Spending Review period.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
HMRC is currently using Managed Service Providers (MSPs) to provide additional customer service capacity, equivalent to around 500 FTE, focused on routine work. This includes support for the Online Services Helpdesk and handling simple PAYE enquiries.
HMRC are currently in an initial approximately 18 month ‘proof of value’ phase using existing Government contracts. This will allow them to test, learn and ensure quality and value for money before wider implementation.
HMRC has been clear that no HMRC colleague will be made redundant as a result of this initiative.
HMRC will continue to use a range of resourcing models, alongside the use of MSPs, to meet variable customer demand.
Asked by: Andy McDonald (Labour - Middlesbrough and Thornaby East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many Full‑Time Equivalent staff are engaged via the Managed Service Provider, broken down by business area.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
HMRC is currently using Managed Service Providers (MSPs) to provide additional customer service capacity, equivalent to around 500 FTE, focused on routine work. This includes support for the Online Services Helpdesk and handling simple PAYE enquiries.
HMRC are currently in an initial approximately 18 month ‘proof of value’ phase using existing Government contracts. This will allow them to test, learn and ensure quality and value for money before wider implementation.
HMRC has been clear that no HMRC colleague will be made redundant as a result of this initiative.
HMRC will continue to use a range of resourcing models, alongside the use of MSPs, to meet variable customer demand.