HMRC Self-Assessment Helpline

Debate between Helen Morgan and Nigel Huddleston

Wednesday 20th March 2024 Commons Chamber

[Nigel Huddleston]

I thank my hon. Friend for raising this matter. I reiterate that there is a very good reason why HMRC’s structure and relationship with Government is as it is, because it would be inappropriate for Ministers to interfere with individual tax affairs. However, I would be more than happy to raise his point with HMRC and respectfully ask that it pays it due attention. Of course, the Government set broader policy.

[Helen Morgan (North Shropshire) (LD)]

As a former financial controller of a small business in a rural place, I have used those helplines extensively, not least in sorting out disputes when HMRC has got its data wrong. Given that our own experience is that the website’s process is byzantine, that the waits on the phone lines are inordinately long, and that £36 billion of tax goes uncollected by HMRC every year, how can anyone have any confidence that the Treasury is working effectively?

[Nigel Huddleston]

Very simply, we have one of the lowest tax gaps reported in the world, at about 4.8%, precisely because of the clarity of the tax system and the efficiency of HMRC in gaining the tax that is owed. Of course there are customer service challenges, and I am having conversations with HMRC about that. HMRC is also held to account in the Chamber, the Treasury Select Committee and elsewhere, as appropriate. It is important that we recognise that HMRC received 38 million telephone calls and 16 million pieces of correspondence in 2022-23. If it were a private sector business, we can see how it would make sense strategically to move, where appropriate, as much of that activity as possible online, where it can be dealt with more appropriately and often more quickly.

Oral Answers to Questions

Debate between Helen Morgan and Nigel Huddleston

Tuesday 19th March 2024 Commons Chamber

[Helen Morgan (North Shropshire) (LD)]

14. What recent assessment he has made of the impact of his income tax policies on pensioners.

[The Financial Secretary to the Treasury (Nigel Huddleston)]

The Government have nearly doubled the personal allowance since 2010, and in 2024-25 it will be more than 20% higher in real terms than if it had been uprated by inflation since 2010-11. The personal allowance is currently set at a high enough level to ensure that pensioners whose sole income is the full rate of the new state pension, or the basic-rate pension, do not pay any income tax.

[Helen Morgan]

I have been contacted by pensioners in my constituency who get a full state pension plus protected payments from the old scheme. The increase in their pensions in line with inflation has put them over the personal allowance threshold for paying income tax, which has eaten away at that increase. Was it the Minister’s intention in the Budget to drag pensioners into paying income tax?

[Nigel Huddleston]

As I have outlined, and as the Resolution Foundation and others have pointed out, pensioners have gained about £1,000 on average as a result of the Government’s decisions since 2010 to increase thresholds. Some pensioners rely solely on the state for their incomes, and we are supporting pensioners through a variety of other measures: not only the triple lock but pension credit and cost of living support. Pensioners across the country will benefit from the 8.5% increase coming in April.

Oral Answers to Questions

Debate between Helen Morgan and Nigel Huddleston

Tuesday 6th February 2024 Commons Chamber

[Helen Morgan (North Shropshire) (LD)]

T6. Business owners and high street businesses in Oswestry told me that their biggest challenge is business rates. In his upcoming Budget, will the Chancellor consider a radical reform of business rates that puts the high street on an even keel and on a level playing field with the online retailers?

[Nigel Huddleston]

Over the past few years, we have helped to support our high streets by freezing multipliers and, importantly, targeting further relief at the retail, hospitality and leisure sector. Frequent revaluations are now par for the course, because of the recent changes we have made.

Comprehensive and Progressive Agreement for Trans-Pacific Partnership

Debate between Helen Morgan and Nigel Huddleston

Tuesday 18th July 2023 Commons Chamber

[Helen Morgan (North Shropshire) (LD)]

(Urgent Question): To ask the Secretary of State for Business and Trade if she will make a statement on the comprehensive and progressive agreement for trans-Pacific partnership.

[The Minister for International Trade (Nigel Huddleston)]

The Secretary of State for Business and Trade signed the accession protocol to the comprehensive and progressive agreement for trans-Pacific partnership on Sunday 16 July in Auckland. The UK will be the first new member since CPTPP was created. With the UK as a member, CPTPP will have a combined GDP of £12 trillion and will account for 15% of global GDP. Accession to the agreement sends a powerful signal that the UK is using our post-Brexit freedoms to boost our economy. It will secure our place as the second largest economy in a trade grouping dedicated to free and rules-based trade. It gives us a seat at the table in setting standards for the global economy.

The agreement is a gateway to the wider Indo-Pacific, which is set to account for the majority of global growth and around half of the world’s middle-class consumers in the decades to come. That will bring new opportunities for British businesses abroad and will support jobs at home. More than 99% of current UK goods exports to CPTPP countries will be eligible for zero tariffs. The UK’s world-leading services firms will benefit from modern rules, ensuring non-discriminatory treatment and greater transparency. That will make it easier for them to provide services to consumers in other CPTPP countries.

In an historic first, joining CPTPP will mean that the UK and Malaysia are in a free trade agreement together for the first time. That will give businesses better access to a market worth £330 billion. Manufacturers of key UK exports will be able to make the most of tariff reductions to that thriving market. Tariffs of around 80% on whisky will be eliminated within 10 years, and tariffs of 30% on cars will be eliminated within seven years. Joining CPTPP marks a key step in the development of the UK’s independent trade policy. Our status as an independent trading nation is putting the UK in an enviable position. Membership of that agreement will be a welcome addition to our bilateral free-trade agreements with more than 70 countries. I pay tribute to the many officials and Ministers who have worked on this deal over the past two years, some of whom are in the Chamber today.

[Helen Morgan]

Thank you, Mr Speaker, for granting this urgent question.

The Government published a written statement yesterday that the CPTPP had been signed on 16 July. Unfortunately, Members have not had an opportunity to scrutinise the agreement, or to ask the Secretary of State questions about its impact. The CPTPP contains controversial provisions that will potentially undermine British health and safety standards, as well as those in place for the environment and animal welfare. Organisations from trade unions to the RSPCA have expressed their concern. It is apparent that clauses in the arrangement will allow large companies to sue the UK Government behind closed doors if they believe that their profits have suffered from changes to laws or regulations.

Palm oil produced in Malaysia will have tariffs of 12% eliminated, including from areas that have been deforested. There is apparently no mechanism to ensure that imports of palm oil have been sustainably produced. On food standards, the agreement excludes eggs as a sensitive sector, meaning that egg products will be allowed to be imported from countries that are CPTPP members, but where egg production relies heavily on battery caged hens, which were outlawed in Britain in 2012.

For other animal products, sow stalls, the use of antibiotics, hormone treatments and pesticides that are outlawed here will all potentially be imported in greater numbers. Imports that have a lower production cost but a much higher animal welfare and environmental one, risk undermining our world-leading British farmers and food producers.

The Business and Trade Committee, which provides important scrutiny of the process for free trade agreements, produced a report last week that lamented its inability to scrutinise all elements of the trade agreement.

I have the following questions for the Minister. What steps are his Government taking to ensure that the British public can be sure that the food they buy has been produced to the food safety and animal welfare standards that they rightly expect, such as those of the British Lion code of practice? What estimate has he made of the long-term impact on British farming of this agreement, which will bring an increase to GDP of only 0.8% over a decade?

[Nigel Huddleston]

I am disappointed that the hon. Lady does not see the opportunities for farmers and for this country as a whole from CPTPP. If she shared the confidence in British producers and British services that we have on the Government Benches, she might be able to look at this deal with a glass half full, rather than a glass half empty, but I know that would be a fundamental change of attitude.

The hon. Lady is simply wrong in many areas. It is important that we stop peddling these myths about standards related to CPTPP or any trade deal we are doing. Let us be clear that this deal does not lower any UK product or quality safety requirements. The import standards and import rules that we had the day before we joined CPTPP will be exactly the same the day after. The deal does not alter safety standards, but gives us an opportunity to engage and talk with colleagues and friends around the world on how we would like to improve and work on important issues, such as the environment, which she mentioned, and there is indeed an environment chapter. For example, the UK is committed to tackling illegal deforestation within UK supply chains, and this deal will not change that. As part of concluding CPTPP, the UK and Malaysia have issued a joint statement to reaffirm and strengthen joint work to support sustainable production, particularly of palm oil, in our supply chains.