Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what fiscal criteria she is using to determine when overseas development funding can be restored to previous levels.
Answered by Darren Jones - Chief Secretary to the Treasury
To enable the government to invest more on security and defence, while remaining committed to our fiscal rules, the Prime Minister has taken the difficult decision to reduce Official Development Assistance (ODA) to the equivalent of 0.3% of GNI by 2027. The Spending Review (SR) 2025 ODA settlement delivers on this. The government remains committed to returning spending on ODA to 0.7% of GNI when the fiscal circumstances allow. The OBR’s latest forecast shows that the ODA fiscal tests are not due to be met within the Parliament. The government will continue to monitor future forecasts closely, and each year will review and confirm, in accordance with the International Development (Official Development Assistance Target) Act 2015, whether a return to spending 0.7% of GNI on ODA is possible against the latest fiscal forecast.Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what comparative assessment she has made of the adequacy of the amount of funding available for (a) diplomacy in the Foreign, Commonwealth and Development Office and (b) defence in the Ministry of Defence.
Answered by Darren Jones - Chief Secretary to the Treasury
Both the MOD and FCDO have recently had future budgets confirmed through Spending Review 25, where Government priorities are considered in the round.
Whilst the Foreign, Commonwealth and Development Office (FCDO) has seen ODA reductions, they have been funded to pursue a variety of programming ambitions, reforms, and operating costs.
The Ministry of Defence (MOD) budget is growing by £10.9bn in real terms from 2023-24 to 2028-29 and provides the resources and capital necessary for MOD to start delivering on the vision for defence set out in the Strategic Defence Review (SDR) which was published on 2 June 2025.
Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will undertake a review of the broad rental market areas.
Answered by James Murray - Exchequer Secretary (HM Treasury)
Currently there are no plans to carry out a fundamental review of all broad rental market areas (BRMAs).
The BRMA Review Protocol is published on GOV.UK here: www.gov.uk/government/publications/understanding-local-housing-allowances-rates-broad-rental-market-areas
Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps she is taking to reduce economic inequality.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Government is committed to building a fairer society, spreading opportunity, and improving living standards for all.
The Chancellor will set out her Budget on 30 October.
Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will take steps through the forthcoming Budget to restore public health grants to real terms 2015 levels.
Answered by Darren Jones - Chief Secretary to the Treasury
Detailed spending decisions are a matter for the Chancellor and will be announced at the Budget on 30 October. DHSC will confirm 2025/26 public health grant allocations following the forthcoming Spending Review.
Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of introducing a lower rate of VAT on independent schools with lower fees.
Answered by James Murray - Exchequer Secretary (HM Treasury)
On 29 July, the Government announced that, as of 1 January 2025, all education services and vocational training provided by a private school in the UK for a charge will be subject to VAT at the standard rate of 20 per cent. This will also apply to boarding services provided by private schools.
The Government will confirm the introduction of these tax policy changes at the Budget on 30 October. Following scrutiny of the Government’s costing by the independent Office for Budget Responsibility, details of the Government’s assessment of the expected impacts of these policy changes will be published at the Budget in the usual way.
These changes will apply across the UK. The Barnett formula will continue to apply in the usual way as set out in the Statement of Funding Policy.
Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential impact of the introduction of VAT on independent school fees on the financial viability of Steiner schools.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Government is committed to breaking down barriers to opportunity, ensuring every child has access to high-quality education, which is why we have made the tough decision to end tax breaks for private schools. This will raise revenue for essential public services, including investing in the state education system
This VAT change will not impact pupils with most acute additional needs where these can only be met in private schools, as determined by an Education and Health Care Plan in England, and equivalent processes in other nations.
Where pupils are placed in a private school because their needs cannot be met in the state sector, and they have their places funded by their Local Authority, the Local Authority will be able to reclaim the VAT they incur on these pupils’ fees. In Northern Ireland, it will be the Education Authority who fund placements in private schools and will be able to reclaim the VAT in this way.
The government will publish a Tax Information and Impact Note setting out the impacts of the changes, including the equalities impacts, alongside the Finance Bill.
Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make an assessment of the potential impact of the introduction of VAT on independent school fees on children who (a) attend independent schools and (b) do not have an EHCP and (i) are in care, (ii) experience mental ill-health and (iii) have other SEND challenges.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Government is committed to breaking down barriers to opportunity, ensuring every child has access to high-quality education, which is why we have made the tough decision to end tax breaks for private schools. This will raise revenue for essential public services, including investing in the state education system
This VAT change will not impact pupils with most acute additional needs where these can only be met in private schools, as determined by an Education and Health Care Plan in England, and equivalent processes in other nations.
Where pupils are placed in a private school because their needs cannot be met in the state sector, and they have their places funded by their Local Authority, the Local Authority will be able to reclaim the VAT they incur on these pupils’ fees. In Northern Ireland, it will be the Education Authority who fund placements in private schools and will be able to reclaim the VAT in this way.
The government will publish a Tax Information and Impact Note setting out the impacts of the changes, including the equalities impacts, alongside the Finance Bill.
Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor for the Exchequer, if she will take steps to ensure that pupils without an education, health and care who have experienced trauma are exempt from the introduction of VAT on private school fees.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Government is committed to breaking down barriers to opportunity, ensuring every child has access to high-quality education, which is why we have made the tough decision to end tax breaks for private schools. This will raise revenue for essential public services, including investing in the state education system.
Where pupils are placed in a private school because their needs cannot be met in the state sector, and they have their places funded by their Local Authority, the Local Authority will be able to reclaim the VAT they incur on these pupils’ fees. In Northern Ireland, it will be the Education Authority who fund placements in private schools and will be able to reclaim the VAT in this way.
Where a placement at a specific private school is necessary to meet the pupil’s needs in England, that school will be named in the pupil’s Education, Health and Care Plan (EHCP). This means that the VAT change will not impact pupils with the most acute additional needs, where these needs can only be met in private schools.
Asked by: Rachael Maskell (Labour (Co-op) - York Central)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what discussions she has had with private schools on the Government's proposed policy to implement VAT on private school fees.
Answered by James Murray - Exchequer Secretary (HM Treasury)
As the Government announced on 29 July, as of 1 January 2025, all education services and vocational training supplied by a private school in the UK for a charge will be subject to VAT at the standard rate of 20%.
A technical note setting out the details of this policy has been published online here: VAT on Private School Fees & Removing the Charitable Rates Relief for Private Schools - GOV.UK (www.gov.uk). Draft VAT legislation has also been published alongside this technical note.
A technical consultation on the legislation and technical note will run until 15 September 2024. The Government is engaging with a range of stakeholders as part of this consultation.