Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what plans he has to allocate additional funding to the hospitality sector.
Answered by Kemi Badenoch - President of the Board of Trade
The Government has announced unprecedented support for business and workers to protect them against the current economic emergency including almost £300 billion of guarantees – equivalent to 15% of UK GDP. The hospitality sector continues to have access to a range of government support measures including, but not limited to:
Support for businesses, including the hospitality sector, remains under constant review.
The Business Support website provides further information about how businesses can access the support that has been made available, who is eligible and how to apply - https://www.gov.uk/business-coronavirus-support-finder.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether key workers working for an employer in receipt of public funding and classified on medical grounds as extremely vulnerable will be eligible to be furloughed under the Coronavirus Job Retention Scheme.
Answered by Jesse Norman
Those working for fully funded public sector organisations, including those that need to shield, should be paid as normal out of existing budgets.
Arrangements should be made to facilitate working from home wherever possible, and reprioritisation and redeployment should be considered to minimise issues with service delivery.
Where an employee needs to shield in a public sector organisation that is not fully funded by public grants, and working from home is not possible, furloughing may be appropriate. However, CJRS claims should remain proportionate to the impact on revenue disruption, and those that need to shield should be furloughed before other staff.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether people who work for the charity, voluntary and community sector organisations who have been furloughed may return to their places of work in a volunteering capacity whilst still receiving the support through the Coronavirus Job Retention Scheme.
Answered by Jesse Norman
The purpose of the Coronavirus Job Retention Scheme is to support people who would otherwise have been made redundant. To prevent fraudulent claims, the Government made clear that individuals cannot work or volunteer for their organisation. This also serves to protect employees. If the Government allowed workers to volunteer for their employer, the employer could ask them to effectively work full time whilst only paying them 80% of the wages. These wages would also be paid at the Government’s expense, and therefore an abuse of the system. The Department for Culture, Media and Sport are working with other Government departments and the Voluntary, Community and Social Enterprise sector to identify areas where volunteers can contribute to the Covid-19 response.
On 8 April, the Chancellor announced a £750m support package for charities providing key services and supporting vulnerable people during the Covid-19 crisis. £360m will be allocated by central Government to charities in England based on evidence of service need. £370m will support smaller, local charities working with vulnerable people.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent steps he has taken to mitigate the financial pressures faced by mortgage prisoners during the covid-19 lockdown; and what plans he has to enable mortgage prisoners to switch to new lenders.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
On 17 March the Chancellor announced the availability of a three-month mortgage holiday as part of an unprecedented package of support for individuals, businesses and the economy affected by Covid-19. This help was further extended on 2 June through the publication of FCA guidance. This guidance applies to all firms that engage in mortgage activities to instruct them to offer support to customers that are experiencing financial difficulty due to COVID-19.
The Government has also taken action with the FCA to support mortgage prisoners by removing the regulatory barriers that previously prevented some from switching. Lenders are currently making the necessary adjustments and system changes to enable mortgage prisoners to switch and we expect them to start offering borrowers products using the new rules soon.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he has taken to (a) investigate and (b) take action against companies who utilised the loan charge method of tax avoidance.
Answered by Jesse Norman
Disguised Remuneration (DR) is a type of contrived tax avoidance where loans are paid, usually via an offshore trust, in place of ordinary remuneration with the sole purpose of avoiding income tax and National Insurance contributions. The loans are provided on terms that mean they are unlikely to be repaid. They are no different to normal income and are and always have been taxable.
Since their first use, HM Revenue and Customs (HMRC) have opened tens of thousands of enquiries into DR schemes used by both companies and individuals, warned about use of these schemes in a number of Spotlight publications, successfully litigated cases through the courts and agreed settlements to help taxpayers exit tax avoidance.
The Government introduced targeted anti-avoidance legislation in 2011 to put beyond doubt the ineffectiveness of DR schemes. The Loan Charge was announced at Budget 2016 as part of a package of measures to tackle the use of DR schemes and gave taxpayers the choice of either repaying their loan in full, agreeing settlement terms with HMRC, or paying the Loan Charge.
The Government will continue to tackle this type of tax avoidance vigorously and on 19 March 2020, HMRC published their strategy for tackling promoters of mass-marketed tax avoidance schemes. This strategy outlines HMRC and Government ambitions to drive promoters of tax avoidance out of business.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he has taken to assess the financial effect of the 2019 loan charge on people facing repayment costs during the covid-19 outbreak.
Answered by Jesse Norman
Taxpayers who are liable to pay the Loan Charge have until 30 September 2020 to submit their Self-Assessment return for 2018-19 including details of their Loan Charge liability.
HMRC have made a clear commitment to support all taxpayers who need help to manage their disguised remuneration (DR) liabilities, including those affected by COVID-19. This includes those due to pay the Loan Charge as well as those settling their DR affairs with HMRC. Taxpayers do not have to pay everything in one go. Where a taxpayer cannot pay in full on time, HMRC will seek to agree a payment by instalments with them. The payment plan agreed will be based on what they can afford and there is no upper limit on how long HMRC can potentially spread payments.
HMRC have set up a helpline to support any businesses and self-employed taxpayers concerned about paying their tax, due to COVID-19.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether his Department has plans to ensure local authorities ringfence any future investment into children's services over the next five years.
Answered by Elizabeth Truss
Individual local authorities have flexibility to set their own budgets and spend on services according to local need, priorities and to meet their statutory duties. Decisions on future funding for local government will be made in the round at the next Spending Review.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what fiscal steps he is taking to ensure that the UK has the ability to train sufficient numbers of medical students for the NHS.
Answered by Elizabeth Truss
The government is delivering on its commitment to roll out an extra 1,500 medical school places. Around 630 have taken up places on medical courses in September 2018, bringing the total intake for 2018/19 to 6,701 - the highest on record. A further 690 will be available to students in 2019/20 and the remaining 180 places will be available in 2020/21.
The NHS has established a national workforce group, which will look at the future medical workforce as part of delivering on the workforce aims set out in the Long-Term Plan. The NHS will publish a detailed workforce implementation plan in the Spring.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment his Department has made of the potential merits of funding additional domestic medical student places to meet increasing demand on NHS services.
Answered by Elizabeth Truss
The government is delivering on its commitment to roll out an extra 1,500 medical school places. Around 630 have taken up places on medical courses in September 2018, bringing the total intake for 2018/19 to 6,701 - the highest on record. A further 690 will be available to students in 2019/20 and the remaining 180 places will be available in 2020/21.
The NHS has established a national workforce group, which will look at the future medical workforce as part of delivering on the workforce aims set out in the Long-Term Plan. The NHS will publish a detailed workforce implementation plan in the Spring.
Asked by: Mark Hendrick (Labour (Co-op) - Preston)
Question to the HM Treasury:
To ask the Secretary of State for the Chancellor of the Exchequer, what discussions he has had with Health and Social Care on funding for additional domestic medical student places.
Answered by Elizabeth Truss
The government is delivering on its commitment to roll out an extra 1,500 medical school places. Around 630 have taken up places on medical courses in September 2018, bringing the total intake for 2018/19 to 6,701 - the highest on record. A further 690 will be available to students in 2019/20 and the remaining 180 places will be available in 2020/21.
The NHS has established a national workforce group, which will look at the future medical workforce as part of delivering on the workforce aims set out in the Long-Term Plan. The NHS will publish a detailed workforce implementation plan in the Spring.