Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he has made an assessment of the potential implications for his policies of the recommendations of Debt Justice's Together Against Debt Manifesto, published in March 2024.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Government is committed to supporting people in problem debt. This is why at Spring Budget 2024 the Chancellor announced changes to make it easier to access a Debt Relief Order (DRO) in England and Wales.
In May 2021, the Government launched the Breathing Space scheme, providing a period of protections from creditor enforcement action for individuals in problem debt. The Government Debt Management Function (GDMF) have also recently developed and published a toolkit to help public sector creditors identity and support vulnerable individuals.
The Government provides a range of debt advice services through the Money and Pensions Service to meet the needs of individuals in problem debt, including national and community-based services.
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether the temporary easement for wine products will end on 1 February 2025.
Answered by Gareth Davies - Exchequer Secretary (HM Treasury)
As part of the new alcohol duty system, the Government introduced the temporary wine easement. During this period, all wine between 11.5-14.5% alcohol by volume (ABV) will pay duty as if it were 12.5% ABV. The temporary wine easement will last until 1 February 2025, giving the wine industry over two years to adapt to the new system.
The Government is closely monitoring the impact of the recent reforms and will evaluate the impact of the new rates and structures three years after the changes took effect on 1 August 2023. This will allow time to understand the impacts on the alcohol market, and for HMRC to gather useful and accurate data with which to evaluate the effects of the reform.
As with all taxes, the Government keeps the alcohol duty system under review during its yearly Budget process.
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will bring forward legislative proposals to improve the regulation of debt collection practices.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Government wants to see fair treatment of individuals in problem debt, and there is a range of work underway across government and regulators to promote responsible debt collection practices.
In June 2023 the FCA, Ofgem, Ofwat and Ofcom published a joint letter via the UK Regulators’ Network (UKRN) setting out how firms in their respective sectors should support customers in financial difficulty. On 18 March 2024, the same group of regulators issued further guidance, setting out their shared expectations on firms’ debt collection practices. This is to ensure that firms support customers in debt and that firms’ collection practices are not causing harm to customers.
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department plans to increase the regulation digital buy-now pay-later products.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Government is committed to regulating Buy-Now Pay-Later (BNPL).The Government will publish a response to the consultation, which will set out next steps, in due course.
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department has conducted recent distributional analysis of the impact of inflation on people in different income brackets.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
The Office for National Statistics (ONS) publish experimental statistics which show the inflation experienced by households across the income distribution:
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential implications for his policies of the report by CAGE entitled Who would be affected by Capital Gains Tax reform, published in February 2024.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
Substantial reforms to CGT rates and allowances would involve a number of wider policy trade-offs and so careful thought must be given to the impact that they would have on taxpayers, as well as any additional administrative burden on HMRC.
The Government will continue to keep the tax system under review.
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the joint public letter from UK civil society organisations on the Household Support Fund, published on 6 February 2024, if he will publish a response.
Answered by Laura Trott - Chief Secretary to the Treasury
The Treasury carefully considers all issues raised by stakeholders. The Government continues to keep all of its existing policies and programmes under review in the usual way.
The Government has provided £842m to Local Authorities in England to deliver the Household Support Fund in England over 2023-24, and provided over £2 billion for the Fund since October 2021. Over 10 million awards were given from the last extension of the Fund, between 1 October 2022 to 31 March 2023.
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent discussions he has had with Cabinet colleagues on the provision of funding for an infected blood compensation scheme.
Answered by Laura Trott - Chief Secretary to the Treasury
This was an appalling tragedy, and my thoughts remain with all those affected. The Government has accepted the moral case for compensation and justice must be delivered for the victims.
As such, the Government intends to respond in full to Sir Brian Langstaff’s recommendations for wider compensation following the publication of the Inquiry’s final report in May 2024.
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether he has had recent discussions with international counterparts on a strategy to reduce debt in low-income countries.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
As the Government’s lead on sovereign debt issues, HM Treasury maintains regular engagement with its international counterparts – including the IMF, World Bank, and other G7 and G20 members – to address debt vulnerabilities in low-income countries. Discussions take place bilaterally and in the relevant fora, including G7 and G20 meetings, and the Global Sovereign Debt Roundtable.
For countries facing unmanageable debt burdens, the UK also coordinates with other official creditors to provide debt restructurings when needed – both at the Paris Club or as part of the G20 Common Framework.
Asked by: Dan Carden (Labour - Liverpool, Walton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what the cost to the public purse was of his flight to attend the World Economic Forum in Davos in January 2024.
Answered by Gareth Davies - Exchequer Secretary (HM Treasury)
Costs for all overseas ministerial travel is regularly published in transparency returns.
These figures are scheduled to be published in due course.