Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate his Department has made of the number of children under five years old living in poverty.
Answered by Rishi Sunak - Prime Minister, First Lord of the Treasury, Minister for the Civil Service, and Minister for the Union
HM Treasury use the ‘Household below average income (HBAI)’ statistics published by the Department for Work and Pensions to determine the number of children living in low-income households.
Tackling child poverty will always be a priority for the government. The government’s view is that work remains the best route out of poverty: children in households where all adults are working are five times less likely to be in relative low income (before housing costs) than those in workless households.
Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department is taking to help tackle the loyalty penalty in the mortgage market.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
There are comparatively high levels of customer engagement in the UK mortgage market, with 75% of customers taking out a new product within 6 months of being on the reversion rate.
Whilst the levels of customer engagement are comparatively high in the mortgage market, the Government is not complacent. That is why HM Treasury (HMT) has worked closely with the Financial Conduct Authority (FCA) on changes to their lending rules, which will remove the regulatory barrier which currently prevents some borrowers from switching to a new deal. These changes will be in place before the end of the year.
HMT also supports the current FCA research into customers who could switch at the end of the fixed introductory period but who choose to stay on the reversion rate.
No recent representations have been made to the Chancellor of the Exchequer on the loyalty penalty in the mortgage market.
Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent discussions he has had with the Financial Conduct Authority on the loyalty penalty in the mortgage market.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
There are comparatively high levels of customer engagement in the UK mortgage market, with 75% of customers taking out a new product within 6 months of being on the reversion rate.
Whilst the levels of customer engagement are comparatively high in the mortgage market, the Government is not complacent. That is why HM Treasury (HMT) has worked closely with the Financial Conduct Authority (FCA) on changes to their lending rules, which will remove the regulatory barrier which currently prevents some borrowers from switching to a new deal. These changes will be in place before the end of the year.
HMT also supports the current FCA research into customers who could switch at the end of the fixed introductory period but who choose to stay on the reversion rate.
No recent representations have been made to the Chancellor of the Exchequer on the loyalty penalty in the mortgage market.
Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent representations he has received on the loyalty penalty in the mortgage market; and if he will make a statement.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
There are comparatively high levels of customer engagement in the UK mortgage market, with 75% of customers taking out a new product within 6 months of being on the reversion rate.
Whilst the levels of customer engagement are comparatively high in the mortgage market, the Government is not complacent. That is why HM Treasury (HMT) has worked closely with the Financial Conduct Authority (FCA) on changes to their lending rules, which will remove the regulatory barrier which currently prevents some borrowers from switching to a new deal. These changes will be in place before the end of the year.
HMT also supports the current FCA research into customers who could switch at the end of the fixed introductory period but who choose to stay on the reversion rate.
No recent representations have been made to the Chancellor of the Exchequer on the loyalty penalty in the mortgage market.
Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment his Department has made of the effect of rises in income tax thresholds on income distribution in the last 10 years.
Answered by Jesse Norman
I refer the Hon. Member to the answer given on 30th September (written question number 290638).
Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to ensure the impartiality of the leader of the inquiry into loan charge schemes.
Answered by Jesse Norman
The Chancellor has commissioned Sir Amyas Morse, former CEO of the National Audit Office, to lead an independent Review to consider the impact of the Loan Charge, focusing on individuals who entered directly into disguised remuneration schemes.
Sir Amyas is widely respected, as was emphasised by colleagues across the House in a debate of 6 March 2019.
Sir Amyas has full control over how the Review is run and the outcome. For more information, the Review’s terms of reference can be found here: https://www.gov.uk/government/publications/disguised-remuneration-independent-loan-charge-review
Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the effect of rises in income tax thresholds on income distribution in the last 10 years.
Answered by Jesse Norman
Between 2010 and April 2019 the personal allowance has increased by more than 90%. This means that 1.74 million people on low incomes have been taken out of income tax altogether since 2015-16. The Government has also increased the higher rate threshold to £50,000 to support working people to keep more of what they earn.
The income tax system is highly progressive – the top 1% of income taxpayers are forecast to pay over 29% of all income tax in 2018-19.
Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to ensure that elderly people have access to a bank branch.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
Though I can understand the disappointment felt in a community when a bank branch closes, the decision to maintain a presence on the high street is a commercial one for the management team of a bank and Government does not intervene in those decisions.
The retail financial landscape is changing, as more consumers and businesses opt for the convenience, security, and speed of digital payments and digital banking. Banking service providers need to balance customer interests, market competition, and other commercial factors when considering their strategy.
However, the Government also firmly believes that the impact of branch closures should be understood, considered, and mitigated where possible so that all customers, wherever they live, continue to have access to over-the-counter banking services if they wish to use them. That’s why the Government supports the industry’s Access to Banking Standard which helps customers to understand the options they have locally to continue to access banking services, including specialist assistance for customers who need more help, which may include the elderly. Alternative options include the Post Office, which allows 95% of business and 99% of personal banking customers to carry out their everyday banking at 11,500 Post Office branches across the UK.
Asked by: Jim Cunningham (Labour - Coventry South)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of the proportion of high street bank branches that have closed in the last five years.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Treasury does not make assessments of the bank branch network. The decision to close a branch is a commercial issue for the management team of the bank. However, Government believes it is important the impact on communities must be understood, considered and mitigated where possible. That is why the Government continues to be very supportive of the Access to Banking Standard and the commitment it places on banks to minimise the impact of branch closures, including by ensuring that customers are aware of the alternative ways they can continue to access banking services. These include the Post Office, which allows 95% of business and 99% of personal banking customers to carry out their everyday banking at 11,500 Post Office branches across the UK.
The Financial Conduct Authority undertook an analysis of branch closures as part of their Strategic Review of Retail Banking Business Models. This analysis can be found in Annex 1 of the final report.