Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many non-UK citizens HMRC has estimated are liable to pay the 2019 Loan Charge.
Answered by Mel Stride - Secretary of State for Work and Pensions
The charge on disguised remuneration (DR) loans is estimated to raise £3.2 billion for the Exchequer by 2021. Further information can be found in the ‘Disguised remuneration: further update’ policy paper, published on 22 November 2017: www.gov.uk/government/publications/disguised-remuneration-further-update/disguised-remuneration-further-update.
The charge on DR loans is estimated to affect up to 50,000 individuals. Outstanding DR loans will be treated as UK income and charged to tax on 5 April 2019. An individual will usually have to pay tax on UK income even if they are not resident in or a citizen of the UK, and the charge on DR loans is no different. As a result, no assessment has been made of how many of the 50,000 estimated to be affected are non-UK resident or non-UK citizens.
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, with reference to the Government’s technical note on a temporary customs arrangement, published on 7 June 2018, whether the UK will make payments to the EU to participate in a backstop customs arrangement; and if he will make a statement.
Answered by Mel Stride - Secretary of State for Work and Pensions
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what recent estimate he has made of the additional funding required by (a) his Department and (b) HM Revenue and Customs) over the next two years to prepare effectively for the UK leaving the EU.
Answered by Elizabeth Truss
As announced at Autumn Budget 2017, HMT is making £3 billion of additional funding available over the next two years - £1.5 billion in both 18/19 and 19/20 – so that departments and the Devolved Administrations can continue to prepare effectively for Brexit. HMT is working to understand what each department needs to prepare effectively, and what additional funding should be supplied – HM Treasury will aim to agree 2018/19 allocations in early 2018. Departments’ funding requirements for 19/20 will be affected by progress in negotiations with the EU and will therefore be decided at a later date. Additional funding received from the Reserve will be set out at Supplementary Estimates in the usual way.
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to page 22 of Autumn Budget 2017, how the £3 billion set aside to prepare for the UK leaving the EU will be allocated across (a) government departments and (b) public authorities.
Answered by Elizabeth Truss
The additional funding from the Reserve in 18/19 and 19/20 is being set aside to ensure funding is available as required. HMT will work with departments and DExEU over the coming weeks to refine estimates of departmental requirements and will allocate 18/19 funding in early 2018. Departmental allocations for 2019-20 will be agreed later in 2018-19. Departmental allocations from the Reserve will be set out at Supplementary Estimates in the relevant year as is usual.
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, with reference to page 22 of Autumn Budget 2017, how the £700 million already allocated to prepare for the UK leaving the EU has been allocated across (a) government departments and (b) public authorities.
Answered by Elizabeth Truss
The £700m of additional funding already allocated includes £412m of additional funding that DIT, FCO and DExEU received over the parliament that was set out at Autumn Statement 2016. In addition, the Treasury has also allocated £250m from the Reserve to a number of departments in 17/18. Departmental allocations from the 17/18 Reserve will be set out at Supplementary Estimates, in the usual way.
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, whether his Department's paper, The long-term economic impact of EU membership and the alternatives, published on 18 April 2016, still represents his Department's best assessment of the long-term economic impact of some of the potential trading models available to the UK after the UK leaves the EU.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
Government has undertaken a significant amount of work to assess the economic impacts of leaving the EU. This is part of our continued programme of rigorous and extensive analytical work on a range of scenarios on a sector by sector basis.
The Prime Minister has made clear however that the UK aims to agree an ambitious and comprehensive economic partnership with the EU that is of far greater scope and ambition than any existing free trade agreement.
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, whether his Department has reviewed the economic modelling that underpinned his Department's paper, The long-term economic impact of EU membership and the alternatives, published on 18 April 2016; and what the conclusions were of that review.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
The Government has undertaken a significant amount of work to assess the economic impacts of leaving the EU. This is part of our continued programme of analytical work on a range of scenarios on a sector by sector basis.
We are seeking the best deal possible and the work being done reflects this.
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what recent discussions he or officials of his Department have had with the Turkish Government about that country's customs agreement with the EU.
Answered by Mel Stride - Secretary of State for Work and Pensions
UK Officials in the Department for International Trade, the Department for Exiting the EU, the UK Permanent Representation to the EU, and the Foreign and Commonwealth Office have met officials of the Republic of Turkey where discussion on this matter were held.
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what steps he is taking to encourage more financial institutions, including those based overseas, to provide support to executors and administrators of estates, including with regard to making the deceased's liquid assets available for the payment of inheritance tax prior to the grant of probate in line with the 2016 Bereavement Principles.
Answered by Mel Stride - Secretary of State for Work and Pensions
UK banks’ and building societies’ treatment of their customers is governed by the Financial Conduct Authority (FCA) in its Principles of Business. This includes a general requirement for firms to provide a prompt, efficient and fair service to all of their customers, including those who have recently suffered a bereavement.
The Government is supportive of industry efforts to improve handling of these sensitive cases, including the implementation of the British Bankers’ Association’s Bereavement Principles. These Principles commit firms to support customers and, in particular, allow necessary payments to be made from the deceased’s accounts. Such payments include inheritance tax, which can be paid directly to HM Revenue and Customs, before probate is granted, through the Direct Payment Scheme. Where lower amounts are held, the Principles also commit firms to consider whether they can waive probate requirements and release funds more quickly.
Asked by: Matthew Pennycook (Labour - Greenwich and Woolwich)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what assessment his Department has made of the effect on the economy of reducing net immigration to the tens of thousands.
Answered by Steve Barclay - Secretary of State for Environment, Food and Rural Affairs
The Treasury has not made any formal assessment of the effect on the economy of reducing net migration to the tens of thousands.