Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to the Answer of 24 March to Question 38340 on Foreign Relations: China, how many meetings with Chinese government officials have taken place at her Department since September 2024, broken down by (a) month and (b) subject of meeting.
Answered by Emma Reynolds - Economic Secretary (HM Treasury)
As stated in my Answers of 14 and 24 March, UK Officials regularly engage with Chinese counterparts in order to further UK interests, cooperating on areas of mutual interest and challenging on areas where we disagree.
This government is taking a consistent, long-term and pragmatic approach to managing the UK’s relations with China. It is only right that we engage with China where there are clear UK and global interests, including on international stability, climate, health and bolstering our trade relationship.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, pursuant to the Answer of 14 March to Question 36039 on Foreign Relations: China, on what dates these meetings were held.
Answered by Emma Reynolds - Economic Secretary (HM Treasury)
As stated in my Answer of 14 March, UK Officials regularly engage with Chinese counterparts in order to further UK interests, cooperating on areas of mutual interest and challenging on areas where we disagree.
This government is taking a consistent, long-term and pragmatic approach to managing the UK’s relations with China. It is only right that we engage with China where there are clear UK and global interests, including on international stability, climate, health and bolstering our trade relationship.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many meetings between Chinese and UK officials took place between October 1 2024 and March 1 2025.
Answered by Emma Reynolds - Economic Secretary (HM Treasury)
UK officials regularly engage with Chinese counterparts in order to further UK interests, cooperating on areas of mutual interest and challenging on areas where we disagree. This government is taking a consistent, long-term and pragmatic approach to managing the UK’s relations with China. It is only right that we engage with China where there are clear UK and global interests, including on international stability, climate, health and bolstering our trade relationship.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will take steps to ensure that funds potentially owed by Roman Abramovich to HMRC are (a) investigated and (b) reclaimed.
Answered by James Murray - Exchequer Secretary (HM Treasury)
I cannot comment on specific taxpayers or provide comment on individuals or businesses.
However, at the Budget, the Government announced the most ambitious ever package to close the tax gap, to raise £6.5 billion in additional tax revenue per year by 2029-30.
This includes recruiting 5,000 additional compliance staff to make sure people pay the tax that is due, including against serious offshore non-compliance and fraud by the wealthy. Offshore evasion is an international issue that calls for international solutions
The UK is leading international efforts to improve global transparency and we are committed to ensuring everyone pays the right tax under the law, regardless of wealth or status.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has made an assessment of the implications for her policies of reports that Chinese companies have registered more than 30,000 companies at UK addresses where the registered owners have no connection to the business concerned.
Answered by Tulip Siddiq
DBT and Companies House are moving at pace to implement the Economic Crime and Corporate Transparency Act 2024, a principal purpose of which is to strengthen the powers of the Registrar of Companies to bear down on the abuse of corporate structures in the UK. Enhanced intelligence sharing between public authorities is a key element in that.
HMRC is aware of the risk of overseas sellers misrepresenting their true establishment to an online marketplace so that the online marketplace will not charge VAT, and continues to keep the policy under review. Rules introduced in January 2021 make Online Marketplaces responsible for VAT on goods sold by overseas businesses on their platforms.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of bringing forward legislative proposals to place on a statutory footing the ability to redirect a portion of funds recovered from sanctions violations penalties to provide reparations for survivors of (a) human rights and (b) humanitarian law violations.
Answered by Tulip Siddiq
The Office of Financial Sanctions Implementation (OFSI) is responsible for issuing civil monetary penalties for breaches of financial sanctions. OFSI maintains a robust and effective toolkit for responding to breaches of financial sanctions, of which monetary penalties remain a key component. Monetary penalties are not always the most appropriate enforcement outcome. Many cases are resolved privately through warning letters, other advice to firms or referrals to regulators.
The money collected from monetary penalties is deposited into the Consolidated Fund, in line with the general principles applying to the treatment of fines or other penalties imposed by public bodies in central government. OFSI currently has no plans to change this system.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to tackle VAT fraud; and if she will bring forward legislative proposals to extend Deemed Reseller rules to UK-established businesses.
Answered by James Murray - Exchequer Secretary (HM Treasury)
Tax fraud undermines our economy, hurts legitimate businesses and robs our vital public services of much-needed funds.
The government is clear in its commitment to closing the tax gap, and ensuring everyone pays the tax that is legally due.
HMRC uses a wide range of civil and criminal powers to tackle VAT fraud. Online Marketplace liability rules were introduced in 2021 specifically to tackle VAT fraud and non-compliance by overseas sellers. The OBR estimates this will raise £1.8 billion per annum by 2026/27. The government continues to keep this tax policy under review.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will commission an independent review into the loan charge.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Chancellor and I know that the loan charge is a very important matter for many members and their constituents. We have been considering this matter since taking office and will provide an update in due course.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he has taken to investigate (a) Bank Saderat PLC, (b) Melli Bank PLC and (c) other Iranian financial institutions based in the UK with links to the Iranian Government.
Answered by Bim Afolami
The Office of Financial Sanctions Implementation (OFSI) is the authority responsible for implementing and enforcing the UK’s financial sanctions on behalf of HM Treasury.
On 14 December 2023, the UK announced a new sanctions regime that gives the UK extensive new powers to disrupt and deter Iran’s hostile activities in the UK and around the world. This has been developed to respond to unprecedented threats from the Iranian regime, including efforts to undermine peace and security across the Middle East and plots to kill individuals on UK soil. Overall, the UK has designated over 400 Iranian individuals and entities including in relation to Iran’s destabilising regional activity, human rights abuses, and nuclear proliferation.
OFSI assesses every instance of reported non-compliance and will act in all cases where we conclude a breach has occurred. OFSI does not comment on specific cases.
Non-compliance with UK sanctions is a serious offence and punishable through disclosures, large financial penalties, or criminal prosecution. Departments from across HMG including FCDO, HMT, OFSI, HMRC, HO, and the NCA, are working together, and with UK companies, to ensure that sanctions are enforced.
Asked by: Iain Duncan Smith (Conservative - Chingford and Woodford Green)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he plans to take to hold to account UK-based (a) entities and (b) people continuing to deal with the (i) Iranian Government and (ii) IRGC in breach of UK sanctions.
Answered by Bim Afolami
The Office of Financial Sanctions Implementation (OFSI) is the authority responsible for implementing and enforcing the UK’s financial sanctions on behalf of HM Treasury.
On 14 December 2023, the UK announced a new sanctions regime that gives the UK extensive new powers to disrupt and deter Iran’s hostile activities in the UK and around the world. This has been developed to respond to unprecedented threats from the Iranian regime, including efforts to undermine peace and security across the Middle East and plots to kill individuals on UK soil. Overall, the UK has designated over 400 Iranian individuals and entities including in relation to Iran’s destabilising regional activity, human rights abuses, and nuclear proliferation.
OFSI assesses every instance of reported non-compliance and will act in all cases where we conclude a breach has occurred. OFSI does not comment on specific cases.
Non-compliance with UK sanctions is a serious offence and punishable through disclosures, large financial penalties, or criminal prosecution. Departments from across HMG including FCDO, HMT, OFSI, HMRC, HO, and the NCA, are working together, and with UK companies, to ensure that sanctions are enforced.