Oral Answers to Questions

Oliver Heald Excerpts

Tuesday 2nd July 2019 Commons Chamber

[Robert Jenrick]

Perhaps unlike the hon. Gentleman, I am interested in any proposal that can drive economic growth in the north of England. Free ports are an interesting proposal, which we have discussed with a number of communities. We have urged them to come forward with well-thought-through business cases. We have yet to receive them from many places, but we have received one from Teesside and we will consider them carefully in future.

[Sir Oliver Heald (North East Hertfordshire) (Con)]

6. What estimate the Government have made of the number of promoters of loan schemes subject to the 2019 loan charge who have been convicted; and if he will make a statement.

[Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)]

10. What assessment he has made of the effect of the 2019 loan charge on people working in the (a) public and (b) private sector.

[The Financial Secretary to the Treasury (Jesse Norman)]

The loan charge tackles so-called disguised remuneration arrangements, which use loans to avoid tax. It applies in the same way to people in the public and the private sectors. A tax information and impact note published in 2016 and a report on disguised remuneration published in March 2019 both considered the impacts.

[Sir Oliver Heald]

What more can be done to tackle the promoters of loan schemes who gave workers and businesses assurances, even though the Treasury had made it clear that the schemes were unacceptable? Should they not be brought to book? Have any of them been convicted yet?

[Jesse Norman]

My right hon. and learned Friend is absolutely right and HMRC will continue to take firm action against those who promote tax avoidance schemes. As he will know, and I think has been made public, it currently has more than 100 promoters under civil inquiry. It is important to be clear that although there are no criminal offences of promoting or marketing tax avoidance schemes specifically, HMRC may conduct criminal investigations and make referrals to prosecuting authorities where, for example, there is evidence that promoters have deliberately misrepresented the facts to it.