Oral Answers to Questions

Debate between Philip Hollobone and David Gauke

Tuesday 27th January 2015 Commons Chamber

[Mr Gauke]

I suspect that, a couple of weeks ago, the hon. Gentleman walked through the Lobby in support of the charter for fiscal responsibility, which requires us to find £30 billion of savings, either in tax increases or in spending cuts. If he is not prepared to take action in that area, he has to tell his constituents where he is prepared to take action.

[Mr Philip Hollobone (Kettering) (Con)]

I congratulate Her Majesty’s Treasury on its successful efforts to reduce the tax gap. Where are the main hiding places that people are using to try to avoid tax?

[Mr Gauke]

My hon. Friend raises an important question to which I could give a lengthy reply. But what I will say is that, as a Government, we have taken action, for example, to improve the automatic exchange of information between various jurisdictions, so that there is nowhere for people to hide their money. The net is closing in on those who have evaded their taxes, and we are increasingly effective at dealing with tax avoidance as well.

Oral Answers to Questions

Debate between Philip Hollobone and David Gauke

Tuesday 9th December 2014 Commons Chamber

[Mr Philip Hollobone (Kettering) (Con)]

17. What the basic rate personal tax allowance was in May 2010; what that rate would have been in May 2015 if indexed to inflation; and what that rate will be in May 2015.

[The Financial Secretary to the Treasury (Mr David Gauke)]

The tax-free personal allowance was £6,475 in May 2010. It would have risen to just £7,485 by May 2015 through inflation, but the Government announced at autumn statement 2014 that the personal allowance would be increased to £10,600 from April 2015, and this is being legislated for in the Finance Bill 2015.

[Mr Hollobone]

By next May how many people does my hon. Friend estimate will have been taken out of paying income tax altogether in (a) Kettering, (b) Northamptonshire, and (c) the country as a whole?

[Mr Gauke]

By April this year the Government’s measures, including increases in the personal allowance for those born after 5 April 1948, are estimated to have taken about 3.4 million individuals out of the income tax system altogether. Some 248,000 of these individuals live in the east midlands region, which of course includes the constituency of Kettering in Northamptonshire.

Oral Answers to Questions

Debate between Philip Hollobone and David Gauke

Tuesday 4th November 2014 Commons Chamber

[Mr Gauke]

As I say, what has happened under this Government is that the yield brought in by HMRC has increased year after year. The tax gap is lower for 2012-13 than it was in any year under the previous Labour Government. In truth, the record of HMRC is one of getting more from less, but we have invested in the areas that bring in money on tax avoidance and tax evasion.

[Mr Philip Hollobone (Kettering) (Con)]

Will the Minister ensure that the unacceptable and unwelcome £1.7 billion bill from the European Union remains an uncollected tax demand, and that there will be no payment of interest on any late payment?

National Insurance (Contributions) Bill

Debate between Philip Hollobone and David Gauke

Tuesday 10th December 2013 Commons Chamber

[Mr Philip Hollobone (Kettering) (Con)]

I congratulate my hon. Friend on introducing this proposal. How much will it cost and how many young people will it help?

[Mr Gauke]

I am grateful to my hon. Friend for his question. The details of the costings can be seen in the autumn statement document published last week. The initial cost is £460 million and that then increases beyond that. All those working who are under the age of 21 will be able to benefit from it, although there is one caveat that I wish to make in a few moments.

This is a step in the right direction. It is striking that this Government came to office inheriting an increase in NICs and we have not only increased the thresholds for paying employers’ NICs, but we have introduced the employment allowance which gives £2,000 off for businesses in respect of employers’ NICs, and now we are exempting those under the age of 21. All this will help to create employment.