Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of reducing the writing-down allowance main rate in corporation tax on businesses in East Grinstead and Uckfield Constituency.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

Since the introduction of full expensing, most businesses now claim first-year allowances, such as full expensing and the Annual Investment Allowance (AIA), to claim relief on their investments, with 99% of businesses investing under the AIA’s £1 million threshold. The government has maintained these key reliefs, as well as the low Corporation Tax main rate of 25%.

At Budget, the government announced that it is decreasing the main rate of writing-down allowance by 4ppt to 14% from April 2026. This change allows us to fully fund a new 40% first-year allowance (FYA) while also raising revenue to protect the public finances. This new FYA will allow businesses to deduct much of the cost of their investment in the year they make that investment and lower their tax bill. It will be available for assets bought for leasing and for unincorporated businesses, which do not benefit from full expensing, and broadly preserves the current incentives to invest.

For future investment, the present value and cost of capital for businesses that claim the new first-year allowance remains broadly the same. The expected impacts of this measure, included the equalities impacts, are set out on gov.uk. There are no disproportionate impacts expected on women-led businesses or other protected groups as a result of this measure:

Capital allowances: new first-year allowance and reducing main rate writing-down allowances - GOV.UK

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of reducing the writing-down allowance main rate in corporation tax on businesses in Sussex.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

Since the introduction of full expensing, most businesses now claim first-year allowances, such as full expensing and the Annual Investment Allowance (AIA), to claim relief on their investments, with 99% of businesses investing under the AIA’s £1 million threshold. The government has maintained these key reliefs, as well as the low Corporation Tax main rate of 25%.

At Budget, the government announced that it is decreasing the main rate of writing-down allowance by 4ppt to 14% from April 2026. This change allows us to fully fund a new 40% first-year allowance (FYA) while also raising revenue to protect the public finances. This new FYA will allow businesses to deduct much of the cost of their investment in the year they make that investment and lower their tax bill. It will be available for assets bought for leasing and for unincorporated businesses, which do not benefit from full expensing, and broadly preserves the current incentives to invest.

For future investment, the present value and cost of capital for businesses that claim the new first-year allowance remains broadly the same. The expected impacts of this measure, included the equalities impacts, are set out on gov.uk. There are no disproportionate impacts expected on women-led businesses or other protected groups as a result of this measure:

Capital allowances: new first-year allowance and reducing main rate writing-down allowances - GOV.UK

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of reducing the writing-down allowance main rate in corporation tax on women-led businesses.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

Since the introduction of full expensing, most businesses now claim first-year allowances, such as full expensing and the Annual Investment Allowance (AIA), to claim relief on their investments, with 99% of businesses investing under the AIA’s £1 million threshold. The government has maintained these key reliefs, as well as the low Corporation Tax main rate of 25%.

At Budget, the government announced that it is decreasing the main rate of writing-down allowance by 4ppt to 14% from April 2026. This change allows us to fully fund a new 40% first-year allowance (FYA) while also raising revenue to protect the public finances. This new FYA will allow businesses to deduct much of the cost of their investment in the year they make that investment and lower their tax bill. It will be available for assets bought for leasing and for unincorporated businesses, which do not benefit from full expensing, and broadly preserves the current incentives to invest.

For future investment, the present value and cost of capital for businesses that claim the new first-year allowance remains broadly the same. The expected impacts of this measure, included the equalities impacts, are set out on gov.uk. There are no disproportionate impacts expected on women-led businesses or other protected groups as a result of this measure:

Capital allowances: new first-year allowance and reducing main rate writing-down allowances - GOV.UK

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on women in part-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

Businesses are able to claim employer NICs reliefs including those for under-21s and under-25 apprentices. This means employers pay no employer NICs for apprentices under 25 or employees under 21 on earnings up to £50,270.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on women in full-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

Businesses are able to claim employer NICs reliefs including those for under-21s and under-25 apprentices. This means employers pay no employer NICs for apprentices under 25 or employees under 21 on earnings up to £50,270.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on people in Sussex in full-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

The government is making fair choices on tax so it can deliver on the public’s priorities, including maintaining the Secondary Threshold until April 2031. In April 2025, the government more than doubled the Employment Allowance from £5,000 to £10,500.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on people in Sussex in part-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

The government is making fair choices on tax so it can deliver on the public’s priorities, including maintaining the Secondary Threshold until April 2031. In April 2025, the government more than doubled the Employment Allowance from £5,000 to £10,500.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on people in East Grinstead and Uckfield constituency in full-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

The government is making fair choices on tax so it can deliver on the public’s priorities, including maintaining the Secondary Threshold until April 2031. In April 2025, the government more than doubled the Employment Allowance from £5,000 to £10,500.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on people in East Grinstead and Uckfield constituency in part-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

The government is making fair choices on tax so it can deliver on the public’s priorities, including maintaining the Secondary Threshold until April 2031. In April 2025, the government more than doubled the Employment Allowance from £5,000 to £10,500.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on disabled people in part-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

Businesses are able to claim employer NICs reliefs including those for under-21s and under-25 apprentices. This means employers pay no employer NICs for apprentices under 25 or employees under 21 on earnings up to £50,270.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on young people in full-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

Businesses are able to claim employer NICs reliefs including those for under-21s and under-25 apprentices. This means employers pay no employer NICs for apprentices under 25 or employees under 21 on earnings up to £50,270.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of freezing employer National Insurance contribution thresholds on disabled people in full-time work.

Answered by Dan Tomlinson - Exchequer Secretary (HM Treasury)

Businesses are able to claim employer NICs reliefs including those for under-21s and under-25 apprentices. This means employers pay no employer NICs for apprentices under 25 or employees under 21 on earnings up to £50,270.

The OBR expect that employment levels will rise in every year of the forecast, and that they will be higher in every year compared to March, reaching 35.5m in 2030-31.

Question to the Home Office:

To ask the Secretary of State for the Home Department, on what date the Home Office received the legal action submitted by Crowborough Shield; when the Department plans to respond to that legal action; which Minister will be responsible for responding.

Answered by Alex Norris - Minister of State (Home Office)

The Home Office takes its legal obligations seriously. The Department can confirm that it has received a claim for judicial review from Crowborough Shield. As legal proceedings are ongoing, it would not be appropriate to comment further on the timing of any response or which Minister will respond.