Asked by: Keir Mather (Labour - Selby and Ainsty)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to mitigate the impact of bank branch closures in Selby and Ainsty constituency.
Answered by Bim Afolami - Economic Secretary (HM Treasury)
Decisions on opening and closing branches are taken by the management team of each bank on a commercial basis with which the Government does not interfere.
Nonetheless, the Government believes that the impact of branch closures should be mitigated where possible so that all customers, wherever they live, continue to have access to appropriate banking services.
The Government supports industry working together to provide alternative banking and cash services, such as Banking Hubs. To date, industry has committed to delivering new shared Banking Hubs in over 90 communities. Further alternative options to access everyday banking services can be via telephone banking, through digital means such as mobile or online banking and via the Post Office. The Post Office Banking Framework allows 99% of personal banking and 95% of business customers to deposit cheques, check their balance and withdraw and deposit cash at 11,500 Post Office branches across the UK.
Guidance from the Financial Conduct Authority also sets out its expectation of firms when they are deciding to close their branches. Firms are expected to carefully consider the impact of a planned closure on their customers’ everyday banking and cash access needs and consider possible alternative access arrangements. This seeks to ensure the implementation of closure decisions is done in a way that treats customers fairly. The Consumer Duty also requires that firms deliver “good outcomes” for customers.
Asked by: Keir Mather (Labour - Selby and Ainsty)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment he has made of the adequacy of rates of Approved Mileage Allowance Payments, in the context of increases in the cost of fuel.
Answered by Gareth Davies - Exchequer Secretary (HM Treasury)
Approved Mileage Allowance Payments (AMAPs) are used by employers to reimburse an employee’s expenses for business mileage in their private vehicle. These rates are also used by self-employed drivers to claim tax relief on business mileage (simplified motoring expenses). The AMAP rates are not mandatory, and employers can choose to pay more or less than the AMAP rate. It is therefore ultimately up to employers to determine the rate at which they reimburse their employees.
Like all taxes and allowances, the Government keeps the AMAP rate under review, and in considering changes to the AMAP/simplified motoring expenses rates, the Government has to balance support for individuals with the responsible management of public finances, which fund our essential public services. Any changes will be announced at a future fiscal event.
However, the Government recognises that transport is a major cost for individuals and families. At Spring Statement 2022 the Government announced a temporary 12-month cut to duty on petrol and diesel of 5p per litre. In order to continue supporting all motorists, the Government extended the 5p fuel duty cut, which is worth £100 to the average driver over the year.
Asked by: Keir Mather (Labour - Selby and Ainsty)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department is taking steps to help secure free access to cash withdrawals and deposit facilities in Selby and Ainsty constituency.
Answered by Andrew Griffith - Minister of State (Department for Science, Innovation and Technology)
The government believes that all customers, wherever they live, should have appropriate access to banking and cash services.
The government legislated through the Financial Services and Markets Act 2023 to establish a new legislative framework to protect access to cash. This establishes the Financial Conduct Authority (FCA) as the lead regulator for access to cash and provides it with responsibility and powers to seek to ensure reasonable provision of cash withdrawal and deposit facilities across the UK, including free withdrawal and deposit facilities in relation to personal current accounts.
Decisions on opening and closing branches are a commercial issue, and the government does not intervene in these. However, under FCA guidance, firms are expected to carefully consider the impact of planned branch closures on the everyday banking and cash access needs of their customers and consider possible alternative access arrangements. This seeks to ensure that the implementation of closure decisions is undertaken in a way that treats customers fairly.
Alternative options for access to banking can be via telephone banking, through digital means such as mobile or online banking, and the Post Office. The Post Office Banking Framework allows 99% of personal banking and 95% of business banking customers to deposit cheques, check their balance and withdraw and deposit cash at 11,500 Post Office branches in the UK.
Asked by: Keir Mather (Labour - Selby and Ainsty)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential impact of bank closures on the financial vulnerability of people in Selby and Ainsty constituency.
Answered by Andrew Griffith - Minister of State (Department for Science, Innovation and Technology)
The government believes that all customers, wherever they live, should have appropriate access to banking and cash services.
The government legislated through the Financial Services and Markets Act 2023 to establish a new legislative framework to protect access to cash. This establishes the Financial Conduct Authority (FCA) as the lead regulator for access to cash and provides it with responsibility and powers to seek to ensure reasonable provision of cash withdrawal and deposit facilities across the UK, including free withdrawal and deposit facilities in relation to personal current accounts.
Decisions on opening and closing branches are a commercial issue, and the government does not intervene in these. However, under FCA guidance, firms are expected to carefully consider the impact of planned branch closures on the everyday banking and cash access needs of their customers and consider possible alternative access arrangements. This seeks to ensure that the implementation of closure decisions is undertaken in a way that treats customers fairly.
Alternative options for access to banking can be via telephone banking, through digital means such as mobile or online banking, and the Post Office. The Post Office Banking Framework allows 99% of personal banking and 95% of business banking customers to deposit cheques, check their balance and withdraw and deposit cash at 11,500 Post Office branches in the UK.