Brexit: Creative Industries
Debate between Lord Ashton of Hyde and Lord Foulkes of Cumnock
Lord Ashton of Hyde
My Lords, the Government are certainly prepared to listen, including to my noble friend Lord Baker. As far as the EBacc is concerned, we accept that arts entry has declined in 2016, but that was one year. Between 2012 and 2015, entries into arts subjects rose. We absolutely accept that the arts have an important role to play in education. We believe that they are complementary to STEM subjects and that a rounded education includes the arts.
Lord Foulkes of Cumnock (Lab)
My Lords, now that the Supreme Court has decided, is it not wrong for anyone, including the noble Baroness, Lady Bonham-Carter, to assume that we will withdraw from the European Union until Parliament has decided whether to trigger Article 50 and whether anything that results from the negotiations is acceptable?
Banks: Unbanked and Underbanked
Debate between Lord Ashton of Hyde and Lord Foulkes of Cumnock
Lord Ashton of Hyde
My Lords, the Government committed in the Budget this year to publish basic bank account market share data for the first time this autumn, which will show how the banks are meeting their commitments. This will enable government departments to look at how this is progressing and what more they can do. My noble friend is also right to highlight FinTech and the digital sector, as there are many opportunities for technology to support inclusion. I am pleased to say that my honourable friend the Economic Secretary to the Treasury today announced a package of measures to further support UK FinTech, and we will announce further measures in the not-too-distant future.
Lord Foulkes of Cumnock (Lab)
My Lords, as well as the unbanked and underbanked, could the Minister deal with the overbanked, where those extra banks are located in tax havens? When my noble friend Lord Dubs and I looked into this over 30 years ago, we found that the reason these banks are set up by individuals is because they have something to hide. It is all a question of secrecy. Will the Minister indicate what the Government now intend to do in relation to accounts in our overseas territories, and our home territories, which are not as transparent as they ought to be?
Lord Ashton of Hyde
My Lords, I would be very happy to do that but do not want to steal my noble friend the Leader’s thunder at 6 pm or thereabouts. The fact is the Government are doing an awful lot on overseas territories and Crown dependencies. The noble Lord may shake his head, but I will leave it there because it is not the subject of the Question.
Help to Save Scheme
Debate between Lord Ashton of Hyde and Lord Foulkes of Cumnock
Lord Ashton of Hyde
We want to prevent people getting into debt. Half the people on low incomes do not have one week’s wages spare. If we get people into the habit of saving—in the scheme they have to save only £1 pound a month to start with; it can go up to £50 a month—it will prevent people getting into debt in the first place. The Government are subsidising that to incentivise people to do that.
Lord Foulkes of Cumnock (Lab)
Notwithstanding that this is a good scheme, did the Minister hear the “Today” programme this morning, on which John Humphrys tore the Chancellor apart for failing to deliver on his promises? Does the Minister agree on the importance of the independence of the BBC—even though it may not be in his brief?
Lord Ashton of Hyde
I did not hear the “Today” programme. The reason this is not in my brief is that the noble Lord’s question has nothing to do with the Question on the Order Paper.
Tax Treaties: Developing Countries
Debate between Lord Ashton of Hyde and Lord Foulkes of Cumnock(8 years, 9 months ago)
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Lord Ashton of Hyde
I completely agree with the noble Lord and that is why we are actively seeking to update our tax treaties, particularly with developing countries. All modern tax treaties include anti-abuse measures and provide for an exchange of information so that we can bring them up to date and thus enable those countries to increase their tax rate, but it must be remembered that individual developing countries are also aware of the effects on investment of changing their local tax rates.
Lord Foulkes of Cumnock (Lab)
My Lords, does the Minister agree that it is particularly embarrassing that companies such as Google are using places such as Bermuda to avoid paying tax on sales in the United Kingdom, particularly since Bermuda is one of our overseas territories and not an independent country? What are the Treasury and Her Majesty’s Government doing to stop this disgraceful tax avoidance?
Lord Ashton of Hyde
The Government are leading on making sure that there is international agreement on this. The noble Lord may shake his head, but we used the presidency of the G8 in 2013 to initiate the G20 and OECD Base Erosion and Profit Shifting project, which will better align the taxation of profits. As the IFS has said, it is literally impossible for one Government to do something by themselves. That is why we need international agreement to determine where tax should be paid, and we agree that it should be paid fairly in the countries where it is due.
VAT: Evasion
Debate between Lord Ashton of Hyde and Lord Foulkes of Cumnock
Lord Ashton of Hyde
Obviously the idea is that they will not have to wait longer. I think everyone at HMRC has acknowledged that the service provided to individual taxpayers was substandard. That is why it recruited more people and has more people in training. HMRC expects that the service will be improved, as do we all.
Lord Foulkes of Cumnock (Lab)
My Lords, has the Minister had the opportunity to look at John Swinney’s first Scottish budget using the extensive tax powers that have already been devolved to Scotland? He used none of those powers to carry out his so-called anti-austerity programme. In view of the fact that we are now being asked to give the Scottish Government even more powers, will the Government support the amendment to the Scotland Bill put forward by my noble friend Lord Maxton to the effect that if the Scottish Government do not use those powers, they should lose them?
Lord Ashton of Hyde
My Lords, again, that is some way from VAT evasion. I am afraid that I have to say to the noble Lord that I have not studied John Swinney’s budget very carefully.