Asked by: Andrew Love (Labour (Co-op) - Edmonton)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, if he will estimate the annual cost of providing the rent-a-room tax scheme if the threshold were raised (a) in line with rental inflation since 1997-98 and (b) to £7,500 per year; and if he will make a statement.
Answered by David Gauke
The Government has made no such assessment but keeps all tax policies under review.
Asked by: Andrew Love (Labour (Co-op) - Edmonton)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what the annual cost was of providing the rent-a-room tax scheme for each of the last five years; and if he will make a statement.
Answered by David Gauke
HM Revenue and Customs (HMRC) have published information on estimates of the cost of the relief. For the year 2009-10, HMRC estimated the relief cost £120 million. For the years 2010-11 through to 2013-14 HMRC estimate the cost of the relief to be £90 million per annum.
These figures are particularly tentative and subject to a wide margin of error.