Asked by: Jim McMahon (Labour (Co-op) - Oldham West, Chadderton and Royton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of reforms to Cash ISAs on (a) the balance sheets of building societies and (b) mortgage (i) availability and (ii) pricing.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
ISA reform forms part of our strategy to support people into the higher returns that investing can provide.
Rules will be introduced to avoid circumvention of the lower limit for cash ISAs where an individual is under the age of 65. The industry is being consulted on the draft rules, which will be made by amendments to the ISA Regulations and laid in Parliament ahead of April 2027. Building societies and mortgage lenders are part of the industry consultation.
We will consult on the final rules as soon as these are ready, so that firms have enough notice before the new limit applies in April 2027.
The availability and pricing of mortgages is a commercial decision for lenders in which the Government does not intervene. However, mortgage rates are influenced by a range of factors, including Base Rate, which has been cut six times since this Government came to power.
Asked by: Jim McMahon (Labour (Co-op) - Oldham West, Chadderton and Royton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking to prevent the use of Stocks and Shares ISAs to circumvent revised Cash ISA limits due to be introduced in April 2027.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
ISA reform forms part of our strategy to support people into the higher returns that investing can provide.
Rules will be introduced to avoid circumvention of the lower limit for cash ISAs where an individual is under the age of 65. The industry is being consulted on the draft rules, which will be made by amendments to the ISA Regulations and laid in Parliament ahead of April 2027. Building societies and mortgage lenders are part of the industry consultation.
We will consult on the final rules as soon as these are ready, so that firms have enough notice before the new limit applies in April 2027.
The availability and pricing of mortgages is a commercial decision for lenders in which the Government does not intervene. However, mortgage rates are influenced by a range of factors, including Base Rate, which has been cut six times since this Government came to power.
Asked by: Jim McMahon (Labour (Co-op) - Oldham West, Chadderton and Royton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, when she plans to publish final legislation and guidance for ISA providers on the operation of the ISA regime from April 2027.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
ISA reform forms part of our strategy to support people into the higher returns that investing can provide.
Rules will be introduced to avoid circumvention of the lower limit for cash ISAs where an individual is under the age of 65. The industry is being consulted on the draft rules, which will be made by amendments to the ISA Regulations and laid in Parliament ahead of April 2027. Building societies and mortgage lenders are part of the industry consultation.
We will consult on the final rules as soon as these are ready, so that firms have enough notice before the new limit applies in April 2027.
The availability and pricing of mortgages is a commercial decision for lenders in which the Government does not intervene. However, mortgage rates are influenced by a range of factors, including Base Rate, which has been cut six times since this Government came to power.
Asked by: Samantha Niblett (Labour - South Derbyshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many outstanding cases involving individuals subject to the Loan Charge she expects to be resolved as a result of the recommendations of the McCann Review.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
At Budget 2024 the Government announced a new independent review of the loan charge. The purpose of the review was to bring the matter to a close for people who have not settled and paid their loan charge liabilities. The review identified affordability as a key barrier preventing those individuals from settling and made recommendations to remove this barrier.
The Government has gone further in supporting people on the lowest incomes by providing an additional £5,000 deduction for those in scope of the review. This entirely removes approximately 10,000 individuals from the charge. Most others will see their liabilities reduced by at least half.
Under the review recommendations, an individual earning £30,000 who used a disguised remuneration scheme for three years would have their liability reduced by 66 percent. Under the Government’s plans, they will instead see 89 percent written off. It represents the Government’s attempt to provide a fair route to resolution for those who have not settled with HMRC. In turn, those people need to come forward and engage with HMRC in good faith.
Asked by: Adam Jogee (Labour - Newcastle-under-Lyme)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential impact of raising the personal allowance in line with future increases in the State Pension on pensioners in Newcastle-under-Lyme.
Answered by Torsten Bell - Parliamentary Secretary (HM Treasury)
The Government is committed to making sure older people can live with the dignity and respect they deserve in retirement. The State Pension is the foundation of the support available to them. Over the course of this Parliament, the yearly amount of the full new State Pension is currently projected to go up by around £2,100. This reflects the Government’s commitment to the Triple Lock for the duration of this Parliament. This will increase the basic and new State Pension by 4.8% next April, boosting pensioner incomes by up to £575 a year and strengthening retirement security.
The Chancellor has said that those whose only income is the basic or new State Pension without any increments will not have to pay income tax over this Parliament. At the Budget, the Government announced that it will achieve this by easing the administrative burden for pensioners so that they do not have to pay small amounts of tax via Simple Assessment from 2027/28. The Government will set out more details in due course.
Asked by: Neil Duncan-Jordan (Labour - Poole)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential merits of exempting the state pension from taxation.
Answered by Torsten Bell - Parliamentary Secretary (HM Treasury)
Exempting the State Pension from income tax entirely would undermine the public services we all rely on, including the NHS.
Asked by: Ellie Chowns (Green Party - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment her Department has made of the potential impact on the smooth functioning of the property market, of the Finance Bill's requirement for conveyancers submitting Stamp Duty Land Tax returns on behalf of clients to register as 'tax advisers'.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The government has consulted extensively with stakeholders about plans to require the registration of tax advisers who interact with HMRC on behalf of their clients.
This includes the 2024 consultation ‘Raising standards in the tax advice market: strengthening the regulatory framework and improving registration’ and a technical consultation on draft legislation published in summer 2025.
HMRC will continue to work with the industry ahead of implementation and consider concerns raised by stakeholder groups, including conveyancers.
HMRC has released a tax information and impact note on GOV.UK. The note details how the measure is expected to affect businesses that provide professional tax services and interact with HMRC on behalf of their clients.
Asked by: Ellie Chowns (Green Party - North Herefordshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, when HMRC will publish the detailed guidance firms will need in order to comply with the Finance Bill's requirement for conveyancers submitting Stamp Duty Land Tax returns on behalf of clients to register as 'tax advisers'.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
HMRC has published guidance on GOV.UK to support tax advisers who are required to register with HMRC.
https://www.gov.uk/guidance/check-if-and-when-you-need-to-register-as-a-tax-adviser-with-hmrc
Further guidance will be published before May 2026 and HMRC is working with key industry stakeholders to get the detail of this guidance right.
Asked by: Catherine West (Labour - Hornsey and Friern Barnet)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has made an assessment of the potential merits of establishing a legal right to basic banking services for charities.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
Charities make a valuable contribution across the country, and it is important that they can access suitable banking services.
Decisions about the provision of banking services, including whether to offer accounts to particular organisations, are primarily commercial matters for banks who must meet strict financial crime and customer diligence obligations. Charities and community groups often have more complex account structures (for example, multiple trustees), making their banking needs more expensive and operationally demanding. The varying complexity and features of non-personal accounts, together with financial crime obligations, mean there is no ‘one size fits all’ solution for the sector.
At the Government’s encouragement, however, UK Finance - working with banks and charity representative groups - have produced the Voluntary Organisation Banking Guide, which supports charities and community groups in accessing banking services. This includes an account finder tool for charities and community groups.
The Government continues to monitor evidence on access to banking services, including for charities and community groups, while recognising the need to balance customer protection with providers’ obligations to prevent financial crime and maintain the integrity of the financial system.
Asked by: Alec Shelbrooke (Conservative - Wetherby and Easingwold)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate she has made of the cumulative number of pensioners who will be liable for income tax between 2026 and 2031 as a result of the the Personal Allowance threshold being frozen; and what assessment she has made of the total additional tax revenue from those of pensionable age over this period.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The number of people forecast to pay tax by marginal rate can be found in Table 3.19 in the OBR’s November 2025 Economic and fiscal outlook – detailed forecast tables: receipts, linked below:
The previous Government made the decision to maintain income tax thresholds at their current levels from April 2021 until April 2028 and this is reflected in the numbers.
The Chancellor has said that those whose only income is the basic or new State Pension without any increments will not have to pay income tax over this Parliament. At the Budget, the Government announced that it will achieve this by easing the administrative burden for pensioners so that they do not have to pay small amounts of tax via Simple Assessment from 2027/28. The Government will set out more details in due course.