Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, what steps he is taking to help support farmers following the closure of the Sustainable Farming Incentive to new applicants.

Answered by Daniel Zeichner - Minister of State (Department for Environment, Food and Rural Affairs)

This Government is proud to have secured the largest budget for sustainable food production in our country’s history, with £5 billion being spent to support farmers over a two-year period.

Following the announcement that Defra has closed SFI for the submission of new applications, outstanding eligible applications that have been submitted will be processed.

SFI is an important offer, but it is part of a wider package. We remain committed to investing in agri-environment schemes. We plan to launch the new Higher Tier scheme later this year; Capital Grants will re-open in summer 2025; we continue to move forward with Landscape Recovery; and we are increasing payment rates for Higher Level Stewardship (HLS) agreement holders to recognise their ongoing commitment to delivering environmental outcome.

Funding from the farming budget also supports the provision of advice within the sector. The Farming Advice Service can assist farmers to review what advice and guidance is available to meet their business needs.

Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, what steps he is taking to help support farmers following the closure of the Sustainable Farming Incentive.

Answered by Daniel Zeichner - Minister of State (Department for Environment, Food and Rural Affairs)

This Government is proud to have secured the largest budget for sustainable food production in our country’s history, with £5 billion being spent to support farmers over a 2-year period.

Defra has closed the Sustainable Farming Incentive (SFI) for the submission of new applications, existing agreements will continue. Every penny in all existing SFI agreements will be paid to farmers, and outstanding eligible applications that have been submitted will be processed.

We will provide further details about the reformed SFI offer once the Spending Review has been completed.

Whilst we are developing the reformed SFI offer, other schemes will still be available.

SFI is an important offer, but it is part of a wider package. We remain committed to investing in agri-environment schemes. We plan to launch the new Higher Tier scheme later this year; Capital Grants will re-open in summer 2025; we continue to move forward with Landscape Recovery; and we are increasing payment rates for Higher Level Stewardship (HLS) agreement holders to recognise their ongoing commitment to delivering environmental outcome.

Funding from the farming budget also supports the provision of advice within the sector. The Farming Advice Service can assist farmers to review what advice and guidance is available to meet their business needs.

Question to the Department for Education:

To ask the Secretary of State for Education, what assessment her Department has made of the potential impact of the Early Language and Support for Every Child pathfinders programme on attainment for pupils in Central Suffolk and North Ipswich; and what the cost is per child of the programme.

Answered by Stephen Morgan - Parliamentary Under-Secretary (Department for Education)

Early Language Support for Every Child (ELSEC) is a pilot ‘test and learn’ programme being delivered across nine pathfinder sites, one in each English region, covering 12 local authorities. Central Suffolk and North Ipswich are not part of the pilot programme.

According to the programme’s reporting data, therapy support teams have helped 13,000 children so far, and just over 1000 setting staff have been upskilled in delivering interventions. The interim programme evaluation is allowing the department to explore insights into the effectiveness of ELSEC delivery at a local level. A final evaluation will take place following the end of the summer term 2025.

Question to the Department for Environment, Food and Rural Affairs:

To ask the Secretary of State for Environment, Food and Rural Affairs, what steps he is taking with the (a) Country Land and Business Association, (b) National Farmer's Union, (c) Tenant Farmers Association and (d) other industry bodies to help support working farms.

Answered by Daniel Zeichner - Minister of State (Department for Environment, Food and Rural Affairs)

The Government is working to ensure farming becomes more profitable. That is the best way to make farming businesses viable for the future and ensure the long-term food security this country needs.

We regularly meet and discuss Defra’s policies with a range of farming stakeholders, including the Country Land and Business Association (CLA), the National Farmers Union (NFU), and the Tenant Farmers Association (TFA). Since appointment, the Secretary of State has spoken at 4 farming conferences, and had 5 meetings with the CLA, 7 with the NFU and 13 with other organisations.

We will continue to listen to farmers’ concerns to ensure their views are heard.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether food for people living at (a) school and (b) home will have VAT payable on it under the VAT guidance published in November 2024 by HMRC.

Answered by James Murray - Exchequer Secretary (HM Treasury)

Since 1 January 2025, all education services and vocational training provided by private schools in the UK for a charge have been subject to VAT at the standard rate of 20 per cent. This also applies to boarding services provided by private schools.

Since the announcement of this policy, HMRC has taken action to support private schools through the change. This includes publishing bespoke guidance, which is available here: Charging and reclaiming VAT on goods and services related to private school fees - GOV.UK.

This guidance explains that whether VAT applies will depend on how schools charge for meals.

If meals are part of a single supply of education or boarding, the meals will have the same VAT liability as the main supply. So, for example, if a private school charges one fee for education or boarding services, and meals are included as part of the ‘package’ covered by those fees, then 20 per cent VAT will normally be charged on that package without splitting it into individual elements with individual liabilities.

Where a school supplies education or boarding and also supplies other elements for a separate fee, such as meals, these will normally be seen as separate supplies. Where meals are supplied separately, the school must determine if it is closely related to the supply of education, in which case it will be exempt, so no VAT should be applied. Generally, meals supplied during the school day will be closely related to education.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, how much input VAT is forecast to be repayable to private schools for the first quarter that the VAT is levied; how much output VAT is expected to be raised from these schools from these schools in the first quarter; and what the net payment to private schools is for the first quarter of this implementation under the current HMRC interpretation of the guidance.

Answered by James Murray - Exchequer Secretary (HM Treasury)

The Annex to the Government Response to the Technical Note, Government_Response_to_the_Technical_Note_on_Applying_VAT_to_Private_School_Fees_and_Removing_the_Business_Rates_Charitable_Rate_Relief.pdf, sets out the forecast input VAT and calculation of output VAT and net VAT liability resulting from this measure.

VAT revenue overall is recognised in the National Accounts on an accruals basis. As set out in the above Annex, the VAT liability in 2024/25 is time apportioned for the implementation date of 1 January 2025. The actual VAT input tax and output tax reported on VAT returns for any month or quarter will depend on various factors, including the date when schools meet the requirement to register for VAT (if not already registered), and which of the staggered quarterly accounting periods apply to the business.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, how much input VAT is forecast to be repayable to private schools for the first quarter that the VAT is levied; how much output VAT is expected to be raised from private schools in the first quarter; and what the net payment is to private schools for the first quarter of this implementation.

Answered by James Murray - Exchequer Secretary (HM Treasury)

The Annex to the Government Response to the Technical Note, Government_Response_to_the_Technical_Note_on_Applying_VAT_to_Private_School_Fees_and_Removing_the_Business_Rates_Charitable_Rate_Relief.pdf, sets out the forecast input VAT and calculation of output VAT and net VAT liability resulting from this measure.

VAT revenue overall is recognised in the National Accounts on an accruals basis. As set out in the above Annex, the VAT liability in 2024/25 is time apportioned for the implementation date of 1 January 2025. The actual VAT input tax and output tax reported on VAT returns for any month or quarter will depend on various factors, including the date when schools meet the requirement to register for VAT (if not already registered), and which of the staggered quarterly accounting periods apply to the business.

Question to the Scotland Office:

To ask the Secretary of State for Scotland, whether he has had recent discussions with the Scottish Government on school standards.

Answered by Kirsty McNeill - Parliamentary Under-Secretary (Scotland Office)

It was John Swinney himself who said education was the “defining mission” of the SNP government. Yet just last week, we got the news that standards of attainment in Scotland's schools are declining across the board and, shamefully, outcomes for young working-class Scots are getting worse, compared to those from wealthier backgrounds. Scotland’s teachers, parents, and children all deserve a better standard in our schools.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether she plans to adapt the VAT penalty regime for private schools in the context of the publication of comprehensive guidance by HMRC.

Answered by James Murray - Exchequer Secretary (HM Treasury)

Since 1 January, all education services and vocational training provided by private schools in the UK for a charge have been subject to VAT at the standard rate of 20 per cent. This also applies to boarding services provided by private schools.

Since the announcement on 29 July, HMRC has taken action to support private schools through the change: providing detailed guidance, creating a bespoke mailbox for technical queries, running webinars, and allocating additional resource to process VAT registration applications.

HMRC guidance on VAT penalties and interest is available here: VAT penalties and interest - GOV.UK. This includes guidance that a penalty may be cancelled or amended if the taxpayer has a reasonable excuse. It also explains that the late submission penalty rules do not apply to your first VAT return if you are newly VAT registered.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether she plans to introduce leniency provisions for private schools through the initial implementation of VAT.

Answered by James Murray - Exchequer Secretary (HM Treasury)

Since 1 January, all education services and vocational training provided by private schools in the UK for a charge have been subject to VAT at the standard rate of 20 per cent. This also applies to boarding services provided by private schools.

Since the announcement on 29 July, HMRC has taken action to support private schools through the change: providing detailed guidance, creating a bespoke mailbox for technical queries, running webinars, and allocating additional resource to process VAT registration applications.

HMRC guidance on VAT penalties and interest is available here: VAT penalties and interest - GOV.UK. This includes guidance that a penalty may be cancelled or amended if the taxpayer has a reasonable excuse. It also explains that the late submission penalty rules do not apply to your first VAT return if you are newly VAT registered.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if HMRC will extend the 30-day challenge period for instances where they disallow VAT.

Answered by James Murray - Exchequer Secretary (HM Treasury)

Taxpayers can challenge certain decisions from HMRC.

For indirect tax, including VAT, HMRC will offer the taxpayer a review in the decision letter. They will have 30 days from the date of the offer to either accept the offer of a review or appeal to the tax tribunal. This is explained in HMRC guidance, available here: Disagree with a tax decision or penalty: Disagree with a tax decision - GOV.UK.

If taxpayers miss the deadline to accept the offer of a review, they will need to provide a reasonable excuse. Further information on what may count as a reasonable excuse is available here: Disagree with a tax decision or penalty: Reasonable excuses - GOV.UK.

If taxpayers want a review but need more time (for example, to gather information to give to the review officer), they can ask HMRC to extend the deadline. They must ask within 30 days of the offer date. Taxpayers cannot get an extension on the deadline to appeal to the tax tribunal.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether the forecasts for input VAT reclaimable by private schools are in line with Revenue and Customs Brief 16 (2016) being issued.

Answered by James Murray - Exchequer Secretary (HM Treasury)

Revenue and Customs Brief 16 (2016) clarified that VAT incurred prior to registration can be recovered as input tax, subject to the normal rules. The approach taken to VAT recovery by private schools, including projection of taxable use, is in line with the policy as clarified in the brief.

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether the forecasts for input VAT reclaimable by private schools are in line with Revenue and Customs Brief 16 being issued.

Answered by James Murray - Exchequer Secretary (HM Treasury)

Revenue and Customs Brief 16 (2016) clarified that VAT incurred prior to registration can be recovered as input tax, subject to the normal rules. The approach taken to VAT recovery by private schools, including projection of taxable use, is in line with the policy as clarified in the brief.

Found: , Mrs Sureena Brackenridge, Dr Caroline Johnson, Amanda Martin, Darren Paffey, Mark Sewards, Patrick Spencer

Found: Mrs Sureena Brackenridge; Amanda Martin; Darren Paffey; Manuela Perteghella; Mark Sewards; Patrick Spencer

Found: Mrs Sureena Brackenridge; Amanda Martin; Darren Paffey; Manuela Perteghella; Mark Sewards; Patrick Spencer

Found: Perteghella (Liberal Democrat; Stratford-on-Avon) Mark Sewards (Labour; Leeds South West and Morley) Patrick Spencer

Found: Mrs Sureena Brackenridge; Amanda Martin; Darren Paffey; Manuela Perteghella; Mark Sewards; Patrick Spencer

Found: Cleethorpes) • Rebecca Paul (Con, Reigate) • Ian Sollom (LD, St Neots and Mid Cambridgeshire) • Patrick Spencer

Found: Patrick Spencer (Con) asked about the threshold of prior behaviour or offences that could lead to regulatory

Found: Cleethorpes) • Rebecca Paul (Con, Reigate) • Ian Sollom (LD, St Neots and Mid Cambridgeshire) • Patrick Spencer

Found: Withdrawn after debate_3 Neil O'Brien Rebecca Paul Patrick Spencer .

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Found: _NC2 Neil O'Brien Rebecca Paul Patrick Spencer .

Found: Not called_177 Laura Trott Neil O'Brien Patrick Spencer .

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Found: _NC38 Laura Trott Neil O'Brien Patrick Spencer .

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Found: _176 Laura Trott Neil O'Brien Patrick Spencer .

Found: _NC2 Neil O'Brien Rebecca Paul Patrick Spencer .

Found: Withdrawn after debate_3 Neil O'Brien Rebecca Paul Patrick Spencer .

Found: _NC37 Laura Trott Neil O'Brien Patrick Spencer .

Found: _NC36 Laura Trott Neil O'Brien Patrick Spencer ★.

Found: _3 Neil O'Brien Rebecca Paul Patrick Spencer .

Found: _NC37 Laura Trott Neil O'Brien Patrick Spencer ★.

Found: _3 Neil O'Brien Rebecca Paul Patrick Spencer .

Found: _3 Neil O'Brien Rebecca Paul Patrick Spencer ★.

Found: Patrick Spencer (Con) asked about the threshold of prior behaviour or offences that could lead to regulatory