Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent assessment he has made of the impact of bank closures on access to cash for older people.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government recognises the importance of appropriate access to banking. However, decisions on opening and closing branches are a commercial issue for banks and building societies. The Government does not intervene in these decisions or make direct assessments of these branch networks.
Guidance from the Financial Conduct Authority sets out its expectation of firms when they are deciding to reduce their physical branches or the number of free-to-use ATMs. Firms are expected to carefully consider the impact of planned branch closures on their customers’ everyday banking and cash access needs and consider possible alternative access arrangements. This ensures that the implementation of closure decisions is undertaken in a way that treats customers fairly.
Alternative options for access can be via telephone banking, through digital means such as mobile or online banking, and the Post Office. The Post Office Banking Framework allows 99% of personal banking and 95% of business banking customers to deposit cheques, check their balance and withdraw and deposit cash at 11,500 Post Office branches in the UK.
The Government also recognises that cash remains an important part of daily life for millions of people across the UK, particularly those in vulnerable groups, and has committed to legislate to protect access to cash.
Following the Government’s commitment to legislate, firms are working together through the Cash Action Group to develop new initiatives to provide shared services. New shared services will complement other industry initiatives to support access to cash, such as mobile branches and pop-up services, as well as services for people who need to make payments in their own homes. The Government welcomes the direction set by industry’s commitments at the end of last year and looks forward to seeing what results they deliver in protecting cash facilities for local communities across the UK.
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many banks have closed on high streets in (a) Wales, (b) Scotland, (c) England and (d) Northern Ireland since 2015.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government recognises the importance of appropriate access to banking. However, decisions on opening and closing branches are a commercial issue for banks and building societies. The Government does not intervene in these decisions or make direct assessments of these branch networks.
Guidance from the Financial Conduct Authority sets out its expectation of firms when they are deciding to reduce their physical branches or the number of free-to-use ATMs. Firms are expected to carefully consider the impact of planned branch closures on their customers’ everyday banking and cash access needs and consider possible alternative access arrangements. This ensures that the implementation of closure decisions is undertaken in a way that treats customers fairly.
Alternative options for access can be via telephone banking, through digital means such as mobile or online banking, and the Post Office. The Post Office Banking Framework allows 99% of personal banking and 95% of business banking customers to deposit cheques, check their balance and withdraw and deposit cash at 11,500 Post Office branches in the UK.
The Government also recognises that cash remains an important part of daily life for millions of people across the UK, particularly those in vulnerable groups, and has committed to legislate to protect access to cash.
Following the Government’s commitment to legislate, firms are working together through the Cash Action Group to develop new initiatives to provide shared services. New shared services will complement other industry initiatives to support access to cash, such as mobile branches and pop-up services, as well as services for people who need to make payments in their own homes. The Government welcomes the direction set by industry’s commitments at the end of last year and looks forward to seeing what results they deliver in protecting cash facilities for local communities across the UK.
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent discussions he has had with Cabinet colleagues on supporting economic growth in Newport West constituency.
Answered by Helen Whately - Minister of State (Department of Health and Social Care)
The Chancellor regularly meets with his Cabinet colleagues to discuss economic growth across the UK.
As set out in the Levelling Up White Paper, published in February, the Government is committed to levelling up every part of the UK, including Newport West.
Additionally, the Autumn Budget and Spending Review 2021 provided both UK-wide support and targeted funding to meet local economic needs. It also provided the Welsh Government with an additional £2.5 billion per year on average through the Barnett formula over the Spending Review 2021 period, on top of its annual baseline funding of £15.9 billion, to enable further locally targeted investments.
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to help ensure that local bank branches in Newport West constituency remain open to enable vulnerable people to have access to cash.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
The Government recognises that cash remains an important part of daily life for millions of people across the UK, particularly those in vulnerable groups, and has committed to legislate to protect access to cash.
Last year, the Government held an Access to Cash Consultation on proposals for new laws to make sure people only need to travel a reasonable distance to pay in or take out cash. The Government’s proposals intend to support the continued use of cash in people’s daily lives and help to enable local businesses to continue accepting cash by ensuring they can access deposit facilities. The Government will set out next steps in due course.
Following the Government’s commitment to legislate, firms are working together through the Cash Action Group to develop new initiatives to provide shared services. The Government welcomes the direction set by industry’s commitments at the end of last year and looks forward to seeing what results they deliver in protecting cash facilities for local communities across the UK.
On bank branches specifically, the largest banks and building societies, including those with a presence in Wales, have been signed up to the Access to Banking Standard since 2017, which commits them to ensure that customers are well informed about branch closures, the bank’s reasons for closure and options for continued access to banking services.
Guidance from the Financial Conduct Authority also sets out its expectation of firms when they are deciding to reduce their physical branches or the number of free-to-use ATMs. Firms are expected to carefully consider the impact of planned branch closures on their customers’ everyday banking and cash access needs and consider possible alternative access arrangements. This ensures the implementation of closure decisions is undertaken in a way that treats customers fairly.
Alternative options for access can be via telephone banking, through digital means such as mobile or online banking, and the Post Office. The Post Office Banking Framework allows 99% of personal banking and 95% of business banking customers to deposit cheques, check their balance and withdraw and deposit cash at 11,500 Post Office branches in the UK.
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to (a) tackle economic crime and (b) prevent fraudulent companies from accessing public funds.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
Wider work to tackle economic crime is set out through the Economic Crime Plan. The Government is on course to deliver 49 of the 52 actions set out in the Plan. Key progress includes updating the Money Laundering Regulations to close vulnerabilities in our system and to bring new sectors in scope of the requirements; the publication of proposals for Companies House reform, which will ensure it has a larger role in combatting economic crime; and legislating for a new Economic Crime (Anti-Money Laundering) Levy, which will aim to raise around £100 million per year to help fund anti-money laundering measures.
The Prime Minister announced on Thursday 24 February that we will bring forward measures on Unexplained Wealth Orders from the Economic Crime Bill to be introduced before the House rises for Easter. We will set out further detail before Easter on the range of policies to be included in the full Bill in the next session, including on reforms to Companies House and a Register of Overseas property ownership. The Prime Minister also confirmed that we will set up a new dedicated Kleptocracy cell in the National Crime Agency to target sanctions evasion and corrupt Russian assets hidden in the UK – and that means oligarchs in London will have nowhere to hide.
The steps taken to prevent fraudulent companies accessing public funds depend on the nature of the public funding. Common due diligence approaches include Spotlight, the government’s online automated due-diligence tool, fraud prevention data analytics, and Credit Reference Agency due diligence services.
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of the amount of duty lost because of the fraudulent use of red diesel in (a) Wales and (b) the UK.
Answered by Helen Whately - Minister of State (Department of Health and Social Care)
The Measuring Tax Gaps 2021 report published by HMRC sets out that the oils tax gap, which includes Great Britain and Northern Ireland diesel, is estimated at 1% (£190 million) in 2019-20, of which £150 million was in duty and a further £40 million in VAT. As set out in the annex of this report, the tax gap is driven by the misuse of rebated fuel, which is subject to a lower duty rate.
The Chancellor confirmed at Spring Budget 2021 that the Government will remove the entitlement to use red diesel from most sectors from April 2022. This will help to ensure fairness between the different users of diesel fuels and that the tax system incentivises the development and adoption of greener alternative technologies.
The reduction in legitimate red diesel usage following these reforms coming into effect is expected to reduce the level of illegitimate use overall.
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether it is his policy for HMRC to regard feedstocks which are the output of (a) pyrolysis or (b) gasification as recycled for the purpose of the plastic packaging tax.
Answered by Helen Whately - Minister of State (Department of Health and Social Care)
The Plastic Packaging Tax primary legislation, contained in Finance Act 2021, allows for recovered plastic from both mechanical and chemical recycling processes to contribute towards the 30% recycled plastic threshold for the purposes of the tax.
Pyrolysis and gasification processes are a type of chemical recycling process. Therefore, feedstock outputs from these processes would be a source of recycled plastic for the purpose of the Plastic Packaging Tax. Claims about the recycled plastic outputs from these processes must be based on the actual recycled content in order to meet the requirements of the tax.
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will publish representations made by the plastics industry on the appropriate definition of sufficient evidence of recycled content for the purposes of the plastic packaging tax.
Answered by Helen Whately - Minister of State (Department of Health and Social Care)
The summary of responses to the 2019 and 2020 consultations on the design of the tax can be found on GOV.UK.
Following extensive consultation, detailed guidance has been published on GOV.UK to help businesses prepare for the tax. This includes guidance on evidence and record keeping.[[1]]
HMRC will publish further guidance in advance of the tax coming in to force, which will prescribe what constitutes sufficient evidence of recycled content for the purposes of the tax.
[1] https://www.gov.uk/guidance/record-keeping-and-accounts-for-plastic-packaging-tax
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the impact of inflation on living standards in Newport West constituency.
Answered by John Glen - Paymaster General and Minister for the Cabinet Office
We understand that inflation, if higher than income growth, can reduce households’ real income, and that higher prices can increase the cost of living for people and households.
The government is working with international partners to tackle global supply chain disruption and providing support worth around £12 billion this financial year and next to help people with the cost of living. This includes cutting the Universal Credit taper rate to make sure work pays, freezing alcohol and fuel duties to keep costs down, and providing targeted support to help vulnerable households with their energy bills and other essentials.
Asked by: Ruth Jones (Labour - Newport West)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether revenue generated from the tax on plastic packaging will be used to fund the UK’s recycling and collection infrastructure in order to increase the supply of food contact grade recycled material in advance of (a) deposit return schemes and (b) reforms to extended producer responsibility being introduced.
Answered by Helen Whately - Minister of State (Department of Health and Social Care)
The Plastic Packaging Tax will provide a clear economic incentive to use recycled material in the production of plastic packaging. This will create greater demand for recycled material and, in turn, stimulate increased levels of recycling and collection of plastic waste. As set out at Budget 2018 when the tax was first announced, future revenues raised from the tax will enable investment to address single-use plastics, waste and litter.
Alongside this, the government’s commitments in the Resources and Waste Strategy will help to stimulate private investment in reprocessing and recycling infrastructure. The introduction of a Deposit Return Scheme for drinks containers alongside Collection and Packaging Reforms such as Extended Producer Responsibility for packaging and consistency in household and business recycling in England are expected to increase and incentivise appetite for commercial infrastructure investment.