Asked by: Chris Law (Scottish National Party - Dundee West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what regular reviews of the funeral plan market his Department undertook between 2001 and 2018.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The government works closely with the FCA to continually review the regulatory perimeter to ensure that the right balance is struck between proportionately protecting consumers, minimising costs on business, and ensuring consumers have access to useful and affordable financial products and services.
Once made aware of consumer detriment in the pre-paid funeral plans sector, the government investigated and confirmed these reports through its 2018 call for evidence. The government then consulted widely with industry and passed legislation in January 2021 to bring all pre-paid funeral plan providers and intermediaries within the FCA regulatory perimeter.
This has ensured that 1.6 million funeral plan customers are, for the first time, protected by compulsory and robust regulation.
Asked by: Chris Law (Scottish National Party - Dundee West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what criteria the Financial Conduct Authority uses to decide what markets to (a) monitor and (b) intervene in.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Financial Services and Markets Act 2000 establishes the framework for financial services regulation. It provides for the Treasury and Parliament, through legislation, to determine which activities, products and markets are regulated and fall within the remit of the Financial Conduct Authority (FCA). The Financial Services and Markets Act 2000 also gives the FCA a set of statutory objectives and the appropriate regulatory tools and powers to pursue those objectives.
The question of how the FCA monitors and intervenes in the markets it regulates, in order to fulfil its statutory functions, is a matter for the FCA, which is operationally independent from Government. The FCA will respond to the Honourable Member by letter on this matter, and a copy of the letter will be placed in the Library of the House of Commons.
Asked by: Matt Vickers (Conservative - Stockton South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what support his Department provides to help (a) hair and (b) beauty businesses with VAT rates.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
VAT is the UK’s third largest tax forecast to raise £176 billion in 2024/25, helping to fund key spending priorities, such as the NHS, education and defence.
The Government recognises that VAT can disproportionately impact particular sectors, including the hair and beauty sector. However, VAT is a broad-based tax on consumption and the 20 per cent standard rate applies to most goods and services. Any request for a new VAT relief, such as in the form of a reduced rate, should be viewed in the context of over £50 billion of requests the Government has received since the EU referendum.
Asked by: Chris Law (Scottish National Party - Dundee West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether Fairer Finance and Dignity raised issues regarding Safe Hands Funeral Plans in meetings with his Department in (a) 2017 and (b) 2018.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
During a wide-ranging meeting with industry in July 2017 to discuss pre-paid funeral plans, some concerns about Safe Hands funeral plans were raised with HM Treasury.
In response, officials advised that such concerns should be reported to the FCA, reflecting the fact that HM Treasury has no investigatory or enforcement powers of its own.
Asked by: Matt Hancock (Independent - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many Financial Conduct Authority employees were seconded to the Digital Regulation Cooperation Forum in the 2022-2023 financial year.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
These are matters for the Financial Conduct Authority (FCA) and Payment Systems Regulator (PSR), which are operationally independent from Government. The FCA and the PSR will respond to the Honourable Member by letter, and a copy of the letter will be placed in the Library of the House of Commons.
Asked by: Matt Hancock (Independent - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how much funding the Financial Conduct Authority provided to the Digital Regulation Cooperation Forum in the 2022-23 financial year.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
These are matters for the Financial Conduct Authority (FCA) and Payment Systems Regulator (PSR), which are operationally independent from Government. The FCA and the PSR will respond to the Honourable Member by letter, and a copy of the letter will be placed in the Library of the House of Commons.
Asked by: Matt Hancock (Independent - West Suffolk)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what the pay ranges at each grade are for Payment Systems Regulator staff based (a) in and (b) outside London.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
These are matters for the Financial Conduct Authority (FCA) and Payment Systems Regulator (PSR), which are operationally independent from Government. The FCA and the PSR will respond to the Honourable Member by letter, and a copy of the letter will be placed in the Library of the House of Commons.
Asked by: Kenny MacAskill (Alba Party - East Lothian)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to the Answer of 15 April 2024 to Question 20433, (a) how many such consignments have been declared and (b) whether HMRC has taken such enforcement action since 21 July 2022.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
The indirect supply prohibition, concerning Russian Origin imports of Oil and Oil products came into force on 05 December 2022.
HMRC publishes UK trade data on the www.uktradeinfo.com website.
HM Revenue and Customs does not comment on operational enforcement matters pertaining to specific import or export scenarios.
Asked by: Chris Law (Scottish National Party - Dundee West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many times a breach of the Regulated Activities Order by a funeral plan company was reported to the Financial Conduct Authority in the last three years.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
This is a matter for the Financial Conduct Authority (FCA), which is independent from Government.
The FCA will respond to the Honourable Member by letter, and a copy of the letter will be placed in the Library of the House of Commons.
Asked by: Emily Thornberry (Labour - Islington South and Finsbury)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to his Department's contingent liability approval framework guidance, updated on 20 April 2023, how many applications for contingent liability approval his Department has (a) received and (b) approved have fallen in the average cost per crystallisation category of (i) less than £10 million, (ii) £10 million to £50 million, (iii) £50 million to £100 million, (iv) £100 million to £500 million, (v) £500 million to £1 billion and (vi) more than £1 billion in each financial year from (a) 2017-18 to (B) 2023-24 to date.
Answered by Laura Trott - Chief Secretary to the Treasury
The contingent liability approval framework sets out government’s policy framework for new contingent liabilities and a delegation approach.
The government is committed to transparency on its contingent liability portfolio. For that reason, at the 2023 Autumn Statement UKGI published a comprehensive assessment of government exposure to contingent liabilities, the “Annual Report on the UK Government’s Contingent Liabilities, November 2023”.
Government also reports individual liabilities to parliament, as set out in Managing Public Money.