Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to paragraph 5.76 of the Autumn Budget 2024, HC 295, published on 30 October 2024, when the next bi-annual fiscal forum with the Oil and Gas sector will take place; where that forum will take place; and who will attend on behalf of the Government.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The government is committed to maintaining an open and constructive dialogue with the oil and gas sector to support our energy security and ensure the sector plays its role in our clean energy ambitions.
In line with this I will chair the next Oil and Gas Fiscal Forum in the first quarter of next year. The date and location of the forum has not yet been confirmed.
Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to her Department's policy paper entitled Capital Gains Tax: Rates of tax — carried interest, published on 30 October 2024, what the evidential basis is for the cost of implementing a one year increase to Capital Gains Tax.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The published operational costs represent a high-level cost estimate for the changes required to HMRC IT systems to deliver this policy change which follow a recognised standard methodology. HMRC do not provide detailed costs related to policy changes.
Separately, the revenue impacts of the changes to the rates of Capital Gains Tax (CGT) on carried interest from 6 April 2025 are included in the costings published in the main Autumn Budget 2024 document.
The CGT changes are the first step of a reform package that will put the tax treatment of carried interest on a fairer and sustainable footing, while preserving the competitiveness of the UK as a fund management fund. From 6 April 2026, the carried interest tax regime will move fully across to the Income Tax framework; this will be legislated in a future Finance Bill, which the House will have the opportunity to consider.
Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to the Answer of 18 November 2024 to Question 13623 on Agriculture: Inheritance Tax, what data her Department holds on the impact of reforms to (a) agricultural property relief and (b) business property relief on tenant farmers.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Government has published information about the reforms to agricultural property relief and business property relief. In addition to the information highlighted in the Answer of 18 November 2024 to Question 13623 on Agriculture: Inheritance Tax, the Chancellor of the Exchequer provided further data in her recent letter to the Chair of the Treasury Select Committee. The letter is available at committees.parliament.uk/publications/45691/documents/226235/default/.
The Government has held meetings with a range of stakeholders, including the Tenant Farmers Association.
Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to paragraph 2.51 of the Autumn Budget 2024, published on 30 October, whether (a) non-residential agricultural buildings, (b) farm vehicles, (c) farm tools, (d) livestock and (e) chemicals and fertiliser stock are included in the valuation of an estate and its assets.
Answered by James Murray - Exchequer Secretary (HM Treasury)
I can confirm that (a) non-residential agricultural buildings, (b) farm vehicles, (c) farm tools, (d) livestock and (e) chemicals and fertiliser stock are all included in the valuation of the agricultural and business assets of an estate.
Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to page 41 of her Department's document entitled Autumn Budget 2024, Policy Costings, published on 30 October 2024, what the evidential basis is for the Exchequer impact of changes to agricultural property relief and business property relief being £495 million in 2027-28; and what the split is between the two reliefs.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The costing methodology for reforming agricultural property relief and business property relief from 6 April 2026 by maintaining 100% relief for the first £1m of combined assets and 50% relief thereafter, and 50% relief for “not listed” shares on the markets of a recognised stock exchange is published in the Autumn Budget 2024 Policy Costing Document on page 41:
Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to her Department's policy paper entitled Summary of reforms to agricultural property relief and business property relief, published on 30 October 2024, what assessment he has made of the impact of this change on tenant farmers.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Government published information about the reforms to agricultural property relief and business property relief at www.gov.uk/government/publications/agricultural-property-relief-and-business-property-relief-reforms, and further explanatory information at https://www.gov.uk/government/news/what-are-the-changes-to-agricultural-property-relief. Around 500 estates across the UK are expected to be affected each year from 2026-27.
In accordance with standard practice, a tax information and impact note will be published alongside the draft legislation before the relevant Finance Bill.
Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to her Department's policy paper entitled Summary of reforms to agricultural property relief and business property relief, published on 30 October 2024, whether he has made an assessment of the number of farmers that will exit the sector as a result of this change.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Government published information about the reforms to agricultural property relief and business property relief at www.gov.uk/government/publications/agricultural-property-relief-and-business-property-relief-reforms, and further explanatory information at https://www.gov.uk/government/news/what-are-the-changes-to-agricultural-property-relief. Around 500 estates across the UK are expected to be affected each year from 2026-27.
In accordance with standard practice, a tax information and impact note will be published alongside the draft legislation before the relevant Finance Bill.
Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he has taken to ensure the Financial Ombudsman Service deals promptly and fairly with complaints in respect of small financial advice businesses.
Answered by Andrew Griffith - Shadow Secretary of State for Business and Trade
The Government is clear that the Financial Ombudsman Service (FOS) should deal with all cases promptly and fairly. The rules on how the FOS should handle complaints state that ‘The ombudsman will attempt to resolve complaints at the earliest possible stage ’DISP 3.5 Resolution of complaints by the Ombudsman - FCA Handbook’. Inevitably some cases will be more complex than others and therefore take more time to resolves, however the FOS should deal with all cases in a timely manner.
The FOS is an independent non-governmental body. The Treasury is therefore not involved in the day-to-day operations of the FOS and the remit of the FOS is set out by the Financial Conduct Authority. Nevertheless, the Government believes that it is vitally important that the FOS should be accountable for its performance and the quality of its work. The FOS answers to a board of directors, appointed by the Financial Conduct Authority, and must make a report each year on the discharge of its functions which is required to be laid before Parliament. This ensures Parliament is able to scrutinise the efficiency, effectiveness and economy with which the FOS carries out its functions, including data concerning the time it takes for the FOS to deal with cases.
The FOS have been clear that bringing down waiting times is one of their main priorities for 2022/23 as outlined in their annual plan and budget. This includes ensuring cases are allocated more quickly and improving turnaround times by caseworkers. I am pleased to hear that the FOS are also investing in technological changes which they expect to bring down waiting times including further development of a digital portal and implementing additional intelligent automation capability.
Asked by: Gareth Davies (Conservative - Grantham and Bourne)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether the Government has plans to issue a sovereign green gilt as part of the transition to a net zero economy.
Answered by John Glen
The government remains open to the introduction of new financing instruments but would need to be satisfied that they would meet value-for-money criteria, enjoy strong and sustained demand in the long-term and be consistent with the wider fiscal objectives of government. The government continues to monitor the case for issuing a sovereign green bond and will keep this under review.