Asked by: Blair McDougall (Labour - East Renfrewshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will issue guidance to (a) HSBC and (b) Standard Chartered on the validity of British National (Overseas) passports for Hong Kongers to use to secure early withdrawals of their Mandatory Provident Fund savings after permanently leaving Hong Kong.
Answered by Tulip Siddiq - Economic Secretary (HM Treasury)
This government is deeply committed to supporting members of the Hong Kong community who have relocated to the UK. We are aware that individuals who have chosen to take up the British National (Overseas) route are having difficulties accessing their Mandatory Provident Fund from Hong Kong.
Whilst documentary requirements for withdrawing funds are a matter for the Hong Kong authorities, officials have raised this issue directly with the Hong Kong Special Administrative Region Government and the Hong Kong MPF Schemes Authority. We have urged them to facilitate early draw down of funds as is the case for other Hong Kong residents who move overseas permanently and have made clear such discrimination of BN(O)s is unacceptable.
Asked by: Blair McDougall (Labour - East Renfrewshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of amending paragraph 1(b) of Schedule 29 to the Finance Act 2004 to ensure that people with enhanced protection are not limited in the amount of pension commencement lump sum they can obtain.
Answered by Tulip Siddiq - Economic Secretary (HM Treasury)
Paragraph 1(b) of Schedule 29 to the Finance Act 2004 provides for a pension commencement lump sum where all or part of a member’s lump sum allowance, and all or part of their lump sum and death benefit allowance, is available.
Those with enhanced protection against pension tax charges are entitled to the same amount of pension commencement lump sum they would have expected to receive prior to 6 April 2023. This enables them to receive up to £375,000 if they have sufficient available lump sum allowance.
The government has no plans to enable those with enhanced protection, or any other protection, to access additional tax-free lump sums where they have already taken the maximum amount. This maintains members’ expectations in respect of their tax-free lump sums.
Asked by: Blair McDougall (Labour - East Renfrewshire)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what progress she has made on establishing an (a) independent and (b) wide-ranging review into the loan charge.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Chancellor and I know the loan charge is a very important one for many members and their constituents. We have been considering this matter since taking office and will provide an update in due course.