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.
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: Joe Robertson (Conservative - Isle of Wight East)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether the UK delegation attending the fourth Meeting of Parties to the Framework Convention on Tobacco Control plans to (a) oppose the extension of the scope of application of the Protocol to Eliminate Illicit Trade in Tobacco Products beyond tobacco products to electronic nicotine delivery services and (b) help ensure that proposed amendments of the Treaty follow the proper procedures.
Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)
The procedures for amending the World Health Organization Protocol to Eliminate Illicit Trade in Tobacco Products are laid down in Articles 38 and 39 of that treaty. These stipulate that any proposals need to be communicated to parties at least six months before the session at which they are proposed to be adopted.
As no such communication has been made in this case, if any proposals for extending the Treaty to electronic nicotine delivery services were to emerge, they would need to be considered at a future Meeting of Parties (MOP) rather than this MOP. The UK would always seek to ensure that any proposals to amend the Treaty follow the proper procedures.
Asked by: Wendy Morton (Conservative - Aldridge-Brownhills)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to her Financial Inclusion Strategy, published in November 2025, CP 1424, what steps she is taking to help ensure an equitable geographic distribution of the 350 new banking hubs; whether the rollout will prioritise areas that have recently experienced bank branch closures; and what steps her Department is taking to ensure that the new digital pass for identity verification will be accessible for people with limited digital (a) access and (b) literacy.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
Earlier this month, I published the Government’s Financial Inclusion Strategy setting out a range of interventions to improve financial inclusion and resilience for underserved groups across the UK. This included a key focus on addressing barriers around access to banking and digital inclusion.
Banking is changing, with many customers benefitting from the convenience and flexibility of managing their finances remotely. However, Government understands the importance of face-to-face banking to communities and is committed to championing sufficient access for customers. In addition to traditional bank branches, the financial services industry is committed to rolling out 350 banking hubs across the UK by the end of this Parliament. Over 240 hubs have been announced so far, and more than 190 are already open. Government is working closely with industry on this commitment.
The locations of banking hubs are independently determined by LINK, the industry coordinating body responsible for making access to cash assessments. LINK will carry out an assessment wherever a branch closure is announced or if they receive a community request.
LINK will recommend appropriate solutions where it considers that a community requires additional cash services. Some of the criteria that LINK considers are whether there is a bank branch remaining, population size, number of shops on the high street, distance to the nearest bank branch, public transport links and vulnerability of the population.
In September, the government set out plans for a new government-backed Digital ID scheme. This Digital ID will make it easier for people across the UK to use vital government services, but will also streamline verification processes across private sectors too, such as when opening a new bank account. As part of the government’s forthcoming consultation on the new Digital ID scheme, the government will look at how to make the scheme inclusive, such as by integrating assistive technologies for those with physical or cognitive disabilities, and ensuring that physical alternatives are available for those without smartphones.
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, 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: Andrew George (Liberal Democrat - St Ives)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking to ensure that small and medium-sized enterprises have access to affordable banking services in rural areas.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The government understands the importance of face-to-face banking to rural and coastal communities and is committed to championing sufficient access for both business and personal customers. This is why the government is working with industry to roll out 350 banking hubs by the end of the Parliament.
While decisions on branch provision are commercial decisions for banks themselves, Financial Conduct Authority (FCA) guidance requires firms to conduct a robust impact analysis. Firms must show they have considered customer needs and identified potential reasonable alternatives. The FCA also expects engagement with stakeholders at least 12 weeks before closure and firms must ensure that any replacement services, such as banking hubs, are in place before a branch closes. These measures aim to ensure closures are implemented fairly and transparently.
The FCA also has responsibility and powers to seek to ensure reasonable provision of cash withdrawal and deposit facilities. As part of this responsibility, the FCA must also seek to ensure that there is reasonable provision of free withdrawal and deposit facilities in relation to personal current accounts, and requires LINK, as the cash coordination body, to make a cash access assessment when a branch or ATM closes. In circumstances where LINK considers that a community requires additional cash services, the financial services sector will provide a suitable shared solution, such as an ATM, cash deposit service, or shared banking hub, for cash users in that community.
Alternative options for personal and business customers to access banking include the online and mobile banking, telephone banking and the Post Office. The Post Office Banking Framework allows personal and business customers to withdraw and deposit cash, check their balance, pay bills and cash cheques at 11,500 Post Office branches across the UK. The Post Office is required by the Department for Business & Trade to ensure that 95% of the total rural population across the UK is within 3 miles of their nearest Post Office.
The government’s Financial Services Growth and Competitiveness Strategy sets out a 10-year plan to ensure the UK remains a leading global financial centre, supporting innovation, investment, and consumer access. While the strategy focuses on growth and competitiveness across the sector, we recognise the importance of access to banking services in rural communities. HM Treasury continues to work closely with the financial services industry, regulators, and stakeholders to monitor provision and explore solutions, such as shared banking hubs and digital infrastructure, to maintain access to essential services.
Asked by: Andrew George (Liberal Democrat - St Ives)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what plans her Department has to review the adequacy of banking infrastructure in rural areas as part of its 10-year Financial Services Growth and Competitiveness Strategy.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The government understands the importance of face-to-face banking to rural and coastal communities and is committed to championing sufficient access for both business and personal customers. This is why the government is working with industry to roll out 350 banking hubs by the end of the Parliament.
While decisions on branch provision are commercial decisions for banks themselves, Financial Conduct Authority (FCA) guidance requires firms to conduct a robust impact analysis. Firms must show they have considered customer needs and identified potential reasonable alternatives. The FCA also expects engagement with stakeholders at least 12 weeks before closure and firms must ensure that any replacement services, such as banking hubs, are in place before a branch closes. These measures aim to ensure closures are implemented fairly and transparently.
The FCA also has responsibility and powers to seek to ensure reasonable provision of cash withdrawal and deposit facilities. As part of this responsibility, the FCA must also seek to ensure that there is reasonable provision of free withdrawal and deposit facilities in relation to personal current accounts, and requires LINK, as the cash coordination body, to make a cash access assessment when a branch or ATM closes. In circumstances where LINK considers that a community requires additional cash services, the financial services sector will provide a suitable shared solution, such as an ATM, cash deposit service, or shared banking hub, for cash users in that community.
Alternative options for personal and business customers to access banking include the online and mobile banking, telephone banking and the Post Office. The Post Office Banking Framework allows personal and business customers to withdraw and deposit cash, check their balance, pay bills and cash cheques at 11,500 Post Office branches across the UK. The Post Office is required by the Department for Business & Trade to ensure that 95% of the total rural population across the UK is within 3 miles of their nearest Post Office.
The government’s Financial Services Growth and Competitiveness Strategy sets out a 10-year plan to ensure the UK remains a leading global financial centre, supporting innovation, investment, and consumer access. While the strategy focuses on growth and competitiveness across the sector, we recognise the importance of access to banking services in rural communities. HM Treasury continues to work closely with the financial services industry, regulators, and stakeholders to monitor provision and explore solutions, such as shared banking hubs and digital infrastructure, to maintain access to essential services.
Asked by: Ben Maguire (Liberal Democrat - North Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment with Cabinet colleagues of the potential merits of implementing a pilot scheme for banks to provide standardised anti-money laundering checks for use in property transactions.
Answered by Lucy Rigby - Economic Secretary (HM Treasury)
The requirements for anti-money laundering checks in property transactions are set out in the Money Laundering Regulations (MLRs). The MLRs are not prescriptive in setting out precisely how banks and other regulated firms should undertake anti-money laundering checks, but instead require firms to take a proportionate approach commensurate with their assessment of the risk. Each bank will therefore have its own policies and procedures within this broader framework. The Government keeps the MLRs under periodic review to ensure that requirements remain effective and proportionate for all regulated sectors.