Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the proposed increase in employer National Insurance contributions on employment rates (a) nationally, (b) in Dorset and (c) in North Dorset constituency in the next 12 months.
Answered by James Murray - Exchequer Secretary (HM Treasury)
The Office for Budget Responsibility's October 2024 Economic and Fiscal Outlook (EFO) contains forecasts and assessments of government policy, including the changes to employer National Insurance Contributions.
The OBR expects the 16+ employment rate to remain relatively flat across the forecast, falling by 0.1ppts from 60.0% in 2024 to 59.9% in 2029. Paragraph 3.11 of the EFO provides a detailed analysis of the total impact of the changes to employer National Insurance Contributions on wages, profits and labour supply.
The OBR's forecast does not disaggregate these impacts by region or constituency.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will take steps to ensure access to banking services in areas affected by bank closures.
Answered by Emma Reynolds - Economic Secretary (HM Treasury)
The Government understands the importance of face-to-face banking to communities and high streets in Dorset and across the UK, and is committed to championing sufficient access for all as a priority. This is why the Government is working closely with banks to roll out 350 banking hubs, which will provide local residents and businesses up and down the country with critical cash and banking services. Over 100 banking hubs are already open.
FCA guidance expects firms to carefully consider the impact of planned branch closures on their customers’ everyday banking and cash access needs and put in place alternatives where reasonable. This seeks to ensure that branch closures are implemented in a way that treats customers fairly.
Alternative options to access everyday banking services can be via telephone banking, through digital means such as mobile or online banking and via the Post Office. The Post Office Banking Framework allows personal and business customers to withdraw and deposit cash, check their balance, pay bills and cash cheques at 11,500 Post Office branches across the UK.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what information he holds on the (a) volume and (b) value of trade in goods between (i) Great Britain and Northern Ireland and (ii) Northern Ireland and Great Britain in each of the last five years.
Answered by Lucy Frazer
HMRC is responsible for the collection and publication of data on imports and exports of goods to and from the UK. HMRC releases this information monthly, as a National Statistic called the Overseas Trade in Goods Statistics (OTS), which is available via their dedicated website: www.uktradeinfo.com. From this website, it is also possible to build your own data tables based upon bespoke search criteria: https://www.uktradeinfo.com/trade-data/ots-custom-table/.
Prior to 2021, HMRC has not collected data on movements of goods between Northern Ireland and Great Britain as these are internal UK movements, and so not part of international trade.
HMRC is in the process of reviewing data available, including declarations lodged by traders on goods movements into Northern Ireland from Great Britain, and will set out its approach in due course.
Under unfettered access, traders do not make declarations except in very limited circumstances on goods moved directly from Northern Ireland to Great Britain. This data is not sufficient to provide an estimate of overall trade.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, when he plans to publish the rules and timing of the tariff reimbursement scheme for goods not captured under the UK Trader Scheme; and whether that scheme will be (a) retrospective and (b) limited by state aid caps.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The Government has committed to a tariff reimbursement scheme in the NI Command Papers and work continues to develop the scheme. Once the scheme is live, it will enable traders to be reimbursed where they are unable to draw upon the alternative mechanisms to remove tariffs, but can demonstrate after goods have moved into Northern Ireland that they have not entered and will not enter the EU. Further details of the tariff reimbursement scheme and the evidence that will be required for traders to make a claim will be set out in due course. Once arrangements are finalised, the Government will ensure they are well signposted to businesses.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to ensure the adequacy of VAT use and enjoyment rules relating to rental and leased vehicle movements between Northern Ireland and the Republic of Ireland.
Answered by Jesse Norman - Shadow Leader of the House of Commons
At the end of the transition period, the VAT rules for the place of supply of services, including the use and enjoyment rules, were amended to reflect that the UK is not part of the EU Single Market. The use and enjoyment rules for the short term hire and leasing of vehicles ensure that UK VAT is due when the vehicles are effectively being used in the UK.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what plans he has to improve the adequacy of the Trader Support Service system for vehicle rental and leasing businesses using the UK Trader Scheme to declare goods not at risk.
Answered by Jesse Norman - Shadow Leader of the House of Commons
The Trader Support Service (TSS) has been established to provide education and guidance and to submit declarations on behalf of traders operating under the NI Protocol. This service is live, operating well and TSS is implementing improvements regularly based on customer feedback.
Alongside the TSS, the Government has introduced the UK Trader Scheme (UKTS) for authorised traders to be able to declare goods ‘not at risk’. In order to qualify for full authorisation for the UKTS, traders need to meet certain conditions, including that they are established in Northern Ireland. Where not established, they must have a fixed place of business in Northern Ireland, carry out their customs elsewhere in the UK and have an indirect customs representative (such as the TSS).
However, the Government has also introduced a temporary easement for traders who are not established in Northern Ireland, or who do not have a fixed place of business in Northern Ireland; the Government is aware that this is the case for some GB-based businesses providing vehicle rental and leasing services in Northern Ireland. The easement is designed to assist businesses while they make preparations to meet the full requirements in cases where the trader delivers to fixed places of business in Northern Ireland from where goods are sold to or used by end consumers in Northern Ireland. In order to be authorised for the UKTS until 1 November 2021, the trader must still carry out customs operations elsewhere in the UK and have an indirect customs representative established in Northern Ireland. Further guidance on the easement is available on GOV.UK. HMRC continue to work with businesses to improve this process based on their feedback.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what recent correspondence his Department has received from the Northern Ireland Office on implementing a disregard for compensation payments made under the Historical Institutional Abuse (Northern Ireland) Act 2019.
Answered by Steve Barclay
My department is aware of the situation regarding Northern Ireland Historic Abuse Payments and how they are treated within the benefit system.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the £2 billion in funding announced in the New Decade, New Approach agreement, what proportion of that amount is (a) resource and (b) capital funding.
Answered by Steve Barclay
As part of the New Decade, New Approach agreement, the UK Government agreed to provide financial support of £2 billion to the Northern Ireland Executive. £30 million of resource funding was provided in the current financial year. Further details, including the levels of funding in future financial years and the resource and capital split, will be provided in due course.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to the allocation of funding under the New Decade, New Approach agreement, how much of that funding the UK Government plans to disburse in each of the next 10 financial years.
Answered by Steve Barclay
As part of the New Decade, New Approach agreement, the UK Government agreed to provide financial support of £2 billion to the Northern Ireland Executive. £30 million of resource funding was provided in the current financial year. Further details, including the levels of funding in future financial years and the resource and capital split, will be provided in due course.
Asked by: Simon Hoare (Conservative - North Dorset)
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what steps the Government is taking to ensure that the use of ATMs remains free of charge.
Answered by Robert Jenrick - Shadow Secretary of State for Justice
The Government recognises that widespread free access to cash via ATMs remains extremely important in the day-to-day lives of many consumers and businesses in the UK, and will continue to work with industry to ensure that it is maintained.
The Government established the Payment Systems Regulator (PSR) in 2015 with a statutory objective to ensure that the UK’s payment systems work in the interests of their users.
As part of this, the PSR is monitoring developments within ATM provision, and recently set out three requirements of LINK, the scheme behind the UK’s ATM network: that LINK must maintain the current geographical spread of ATMs; that any changes made to interchange fees must be incremental to allow LINK to monitor the impact and take action if the impact is not as expected; and for a greater focus on LINK’s Financial Inclusion Programme, which ensures the provision of ATMs in certain areas where demand would not otherwise make one viable, to continue to fill gaps in the network. The PSR has committed to using its powers to act should any of the firms it regulates behave in a way that conflicts with its statutory objectives.
The PSR has recently published a summary of their work to date, which can be found at https://www.psr.org.uk/psr-focus/the-UK-ATM-network.
Following the publication of these three criteria, LINK committed to maintaining an extensive network of free-to-use cash machines, ensuring that the present geographical spread of ATMs is maintained, and bolstering its Financial Inclusion Programme. LINK will also protect all free-to-use ATMs which are a kilometre or more from the next nearest free-to-use ATM, and ensure that any community that loses ATM access because of a branch closure has a free ATM provided.
Furthermore, LINK will undertake an annual review of the impact of the interchange fee reduction as it is phased in over the next four years. In addition, LINK will set up publicly available monitoring on its website of every area of the country showing free ATM availability, and highlight any areas where free ATM availability is lost.