Oral Answers to Questions

Matthew Offord Excerpts

Tuesday 1st October 2019 Commons Chamber

[Mr David Davis (Haltemprice and Howden) (Con)]

9. What (a) support and (b) financial relief he plans to provide to people subject to the 2019 loan charge during the duration of the independent review of that charge.

[Dr Matthew Offord (Hendon) (Con)]

14. If he will make it his policy to suspend the 2019 loan charge for the duration of the review of that charge; and if he will make a statement.

[Anne Milton (Guildford) (Ind)]

17. If he will suspend 2019 loan charge repayments for the duration of the review of that charge.

--- Later in debate ---

[Jesse Norman]

The legislation is not retrospective. [Hon. Members: “It is.”] There are defined circumstances in which HMRC and the Government may seek to use retrospective taxation, and they do so with extreme care and attention. All that I am doing is referring my right hon. Friend to the facts as reported to the IOPC. As he will be aware, these are immensely difficult cases in which many circumstances and factors may be in play.

[Dr Offord]

Despite the review, the loan charge remains in place and HMRC continues to pursue people for advance payment notices for which there is no right of appeal. That clearly goes against the spirit of the review. Will the Minister now suspend all activity?

[Jesse Norman]

The review is designed to assess whether the Government’s policy is appropriate, and it would be wrong to change it until the review has had chance to make a decision on it. The Treasury and the House have a great interest in supporting the provision of public services, which the recovery of tax avoided in this way, in many ways egregiously, is designed to fund.