Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if he will commission a further independent review of the Loan Charge.

An independent review of the Loan Charge has already taken place. The 2019 Review, conducted by Lord Morse, concluded that it was right for the Loan Charge to remain in force and for the Government to collect the tax due.

The Government accepted all but one of the 20 recommendations in the review, which is estimated to benefit over 30,000 individuals, removing 11,000 from the Loan Charge entirely.

The charge on disguised remuneration loans is targeted at contrived tax avoidance schemes which seek to avoid income tax and National Insurance contributions by paying users their income in the form of loans, usually via an offshore trust. This kind of tax avoidance deprives the Exchequer of funds to deliver vital public services.