Asked by: Josh Newbury (Labour - Cannock Chase)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential merits of zero-rating Value Added Tax on admission fees for indoor play facilities.
Answered by James Murray - Exchequer Secretary (HM Treasury)
VAT is a broad-based tax on consumption, and the 20 per cent standard rate applies to most goods and services. Tax breaks reduce the revenue available for vital public services and must represent value for money for the taxpayer.
One of the key considerations when assessing a new VAT relief is whether the cost saving is likely to be passed on to consumers. Evidence suggests that businesses only partially pass on any savings from lower VAT rates. The Government has no plans to zero-rate VAT on admission fees for indoor play facilities.
The Government keeps all taxes under review.
Asked by: Josh Newbury (Labour - Cannock Chase)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has had recent discussions with representatives of the indoor play sector on her planned review of business rates.
Answered by James Murray - Exchequer Secretary (HM Treasury)
HM Treasury releases a quarterly record of Ministers’ meetings with external individuals and organisations. This can be found online: https://www.gov.uk/government/collections/hmt-ministers-meetings-hospitality-gifts-and-overseas-travelAt the Autumn Budget, the government published the Transforming Business Rates Discussion Paper, which sets out priority areas for reform. This paper invited stakeholders to help co-design a fairer business rates system that supports investment and is fit for the 21st century. Engagement will take place over the coming months with stakeholders who registered interest by the 15 November deadline, and the government is open to receiving further written evidence to transformingbusinessrates@hmtreasury.gov.uk.
Asked by: Josh Newbury (Labour - Cannock Chase)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking with Cabinet colleagues to support the growth of co-operatives.
Answered by Tulip Siddiq
The Government recognises the important contribution of co-operatives to the economy, serving local communities around the UK and ensuring the UK has a diverse business sector with their model of shared ownership. There are currently 7,370 co-operatives operating across the UK, with an annual income of £42.7 billion.
The Government is committed to unlocking the full potential of the mutual and co-operative sector to support inclusive growth and will work with the sector to ensure it is fully supported to grow.
To help ensure co-operatives legislation is meeting the needs of co-operative and community benefit societies, the Government is funding the Law Commission’s independent review of the Co-operative and Community Benefit Societies Act 2014. This will consider ways to update and modernise the Act.
Asked by: Josh Newbury (Labour - Cannock Chase)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made with the Secretary of State for Energy Security and Net Zero, of the potential merits of removing VAT from refrigerants used in heat pumps.
Answered by James Murray - Exchequer Secretary (HM Treasury)
No assessment has been made. The installation of certain energy-saving materials, including ground- and air- source heat pumps, in residential accommodation and charity buildings benefits from a temporary zero rate of VAT until 31 March 2027 (after which it reverts to the reduced rate of 5 per cent).
There are currently no plans to extend this relief to include the sale of the components used in energy-saving materials, where they are not part of such an installation. However, the Chancellor keeps all taxes under review.