Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what progress he has made with his G7 counterparts on establishing a global minimum corporation tax rate.

OECD proposals to update the international tax framework have been under negotiation for a number of years and the UK has an established record of being at the forefront of these talks.

The package being developed by the OECD includes two pillars; a change in the allocation of taxing rights over business profit, and a global minimum tax. That is something the UK strongly supports; the UK’s consistent position has been that it matters where tax is paid as well as the rate at which it is paid.

On 5 June the G7 finance ministers, meeting in London as part of the UK’s G7 Presidency, confirmed their commitment to a solution containing both pillars. The Government is delighted the G7 has come together to back the proposals developed by the OECD to reform the international tax framework.

Reaching final agreement on a two-pillar solution with the G20 and 139 members of the OECD Inclusive Framework would be a major multilateral achievement that introduces stability into the international tax landscape.