Asked by: James Wild (Conservative - North West Norfolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment has been made of the potential impact of her Department's planned changes to retail, hospitality, and leisure sector multipliers on the pub sector.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government is creating a fairer business rates system that protects the high street, supports investment, and is fit for the 21st century.
In April 2026, the Government will introduce permanently lower business rates multipliers for retail, hospitality, and leisure (RHL) properties with rateable values below £500,000. This permanent tax cut will ensure that eligible properties, including pubs, benefit from much-needed certainty and support.
The final design, including the rates, for the new business rates multipliers will be announced at Budget 2025, so that the Government can factor the revaluation outcomes, as well as the broader economic and fiscal context, into decision-making. When the new multipliers are set, HM Treasury intends to publish analysis of the effects of the new multiplier arrangements.
Ahead of the new multipliers being introduced, the Government prevented RHL business rates relief from ending in April 2025, extending it for one year at 40 per cent up to a cash cap of £110,000 per business. Under the previous Government, RHL relief was due to end entirely in April 2025, and so by extending it, the Government has saved the average pub, with a ratable value of £16,800, over £3,300.
Asked by: Gregory Stafford (Conservative - Farnham and Bordon)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of a lower business rates multiplier for pubs on levels of investment.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government is creating a fairer business rates system that protects the high street, supports investment, and is fit for the 21st century.
In April 2026, the Government will introduce permanently lower business rates multipliers for retail, hospitality, and leisure (RHL) properties with rateable values below £500,000. This permanent tax cut will ensure that eligible properties, including pubs, benefit from much-needed certainty and support.
The final design, including the rates, for the new business rates multipliers will be announced at Budget 2025, so that the Government can factor the revaluation outcomes, as well as the broader economic and fiscal context, into decision-making. When the new multipliers are set, HM Treasury intends to publish analysis of the effects of the new multiplier arrangements.
Ahead of the new multipliers being introduced, the Government prevented RHL business rates relief from ending in April 2025, extending it for one year at 40 per cent up to a cash cap of £110,000 per business. Under the previous Government, RHL relief was due to end entirely in April 2025, and so by extending it, the Government has saved the average pub, with a ratable value of £16,800, over £3,300.
Asked by: Richard Holden (Conservative - Basildon and Billericay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she plans to extend full expensing to leased assets to support small and medium-sized transport businesses that lease vehicles.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The UK has one of the most generous and competitive capital allowances regimes in the world and is top of the rankings of OECD countries for plant and machinery capital allowances.
The Annual Investment Allowance allows both incorporated and unincorporated businesses to deduct the entire cost of investment in both main and special rate assets in one go, up to £1 million per year, including assets bought for leasing or hiring.
Asked by: James Cleverly (Conservative - Braintree)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate she has made of the number of (a) shops, (b) sports stadiums, (c) film studios and (d) airports that would be liable for the surcharge on Rateable Values above £500,000.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
As announced at Autumn Budget 2024, the Government will introduce permanently lower business rates multipliers for retail, hospitality, and leisure (RHL) properties with rateable values (RVs) below £500,000 from 2026/27. This permanent tax cut will ensure that they benefit from much-needed certainty and support. The Government is sustainably funding this by introducing a higher multiplier on properties with RVs of £500,000 and above.
The Valuation Office Agency has published data on the number of properties with current RVs of £500,000 or above.
Every three years, all non-domestic properties are revalued. The next revaluation will take effect on 1 April 2026. This may affect which properties are in scope of the new higher multiplier. Further detail will be published at the Budget.
Asked by: Freddie van Mierlo (Liberal Democrat - Henley and Thame)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent discussions she has had with Cabinet colleagues on reforms to the tax and benefits system for young people in supported accommodation.
Answered by James Murray - Chief Secretary to the Treasury
The Chancellor regularly engages with Cabinet colleagues across a wide range of policy issues including tax and welfare.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact on community choirs of extending Orchestra Tax Relief to include vocal ensembles.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government supports the creative industries, including orchestras, through funding and via the tax system. Orchestra Tax Relief (OTR) was introduced to recognise and sustain the distinct cultural and economic activity associated with orchestral productions.
Under current rules, qualifying concerts must be performed by a group of at least twelve instrumentalists. The human voice is not considered an instrument for these purposes. However, orchestra concerts with a vocal element are eligible for the relief providing that the orchestra has at least 12 instrumentalists, and the instrumentalists are the primary focus.
In considering any changes to existing tax reliefs or introducing new ones, Government has to consider a wide range of factors, including the specific aims of the relief, the costs and complexity of designing and administering new provisions, and fairness.
Decisions on tax are taken by the Chancellor at fiscal events, in the context of overall public finances.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has plans to consult with representatives of choirs and other vocal ensembles on the scope of Orchestra Tax Relief.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government supports the creative industries, including orchestras, through funding and via the tax system. Orchestra Tax Relief (OTR) was introduced to recognise and sustain the distinct cultural and economic activity associated with orchestral productions.
Under current rules, qualifying concerts must be performed by a group of at least twelve instrumentalists. The human voice is not considered an instrument for these purposes. However, orchestra concerts with a vocal element are eligible for the relief providing that the orchestra has at least 12 instrumentalists, and the instrumentalists are the primary focus.
In considering any changes to existing tax reliefs or introducing new ones, Government has to consider a wide range of factors, including the specific aims of the relief, the costs and complexity of designing and administering new provisions, and fairness.
Decisions on tax are taken by the Chancellor at fiscal events, in the context of overall public finances.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to ensure parity of access to creative tax reliefs between orchestras and choirs.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Government supports the creative industries, including orchestras, through funding and via the tax system. Orchestra Tax Relief (OTR) was introduced to recognise and sustain the distinct cultural and economic activity associated with orchestral productions.
Under current rules, qualifying concerts must be performed by a group of at least twelve instrumentalists. The human voice is not considered an instrument for these purposes. However, orchestra concerts with a vocal element are eligible for the relief providing that the orchestra has at least 12 instrumentalists, and the instrumentalists are the primary focus.
In considering any changes to existing tax reliefs or introducing new ones, Government has to consider a wide range of factors, including the specific aims of the relief, the costs and complexity of designing and administering new provisions, and fairness.
Decisions on tax are taken by the Chancellor at fiscal events, in the context of overall public finances.
Asked by: Scott Arthur (Labour - Edinburgh South West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the Cycle to Work tax exemption initiative on the economy.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The Cycle to Work Scheme is made available as a Benefit in Kind and uses the tax exemption for the employer-provision of cycles and associated safety equipment. The scheme was introduced in 1999 to to encourage employees to commute by bicycle by offering a tax-efficient route to access relevant equipment.
HM Revenue & Customs (HMRC) commissioned independent research to evaluate the effectiveness of the Cycle to Work Scheme, alongside carrying out economic research on the bicycle market’s implications for the scheme’s success. The evaluation and the economic research were published in April 2025.
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 her Department has made of the potential impact of personal allowance threshold freezes on people in each income decile for each year from 2015 to date.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The previous government made the decision to freeze the income tax Personal Allowance at its current level of £12,570 until April 2028.
The previous government published a Tax Information and Impact Note (TIIN) setting out the impacts.