Asked by: Mims Davies (Conservative - East Grinstead and Uckfield)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the value for money to the taxpayer of the retrospective Loan Charge.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
I refer the Hon. Member to the answers I gave on 9 February 2026 to UINs 109843.
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to HM Revenue and Customs' press release entitled Government backs high street with acceleration of cheap import reforms and crackdown on dodgy online sellers, published on 23 June 2026, what assessment she has made of the effectiveness of the current online marketplace VAT regime in preventing tax avoidance.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
HMRC has estimated that the current online marketplace VAT regime has raised more than £8 billion, and continues to raise an estimated £1.8 billion per year, in combination with the removal of low value consignment relief (see Extending VAT online marketplace liability to combat non-compliance, chapter 3. Introduction).
Asked by: James McMurdock (Independent - South Basildon and East Thurrock)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, with reference to HM Revenue and Customs' press release entitled Government backs high street with acceleration of cheap import reforms and crackdown on dodgy online sellers, published on 23 June 2026, what discussions she has had with international counterparts on tackling tax avoidance by overseas online marketplaces.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
HM Treasury and HM Revenue and Customs engage regularly with international counterparts through bilateral engagement and multilateral forums, to share expertise and discuss approaches to improving compliance and tackling risks associated with online trade.
Asked by: Jess Brown-Fuller (Liberal Democrat - Chichester)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many outstanding cases of people facing the retrospective loan charge she expects will be settled as a result of the McCann Review; and the likely timescale is for bringing the topic to a conclusion.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
I refer the Hon. Member to the answers I gave on 23 June 2026 to UIN 9553.Asked by: Kevin Hollinrake (Conservative - Thirsk and Malton)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what guidance HMRC has issued on second homes stamp duty tax (a) avoidance and (b) evasion, and the level of the penalties that should be applied.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
HMRC’s guidance on purchases of additional dwellings is set out at the links below:
GOV.uk guidance
https://www.gov.uk/guidance/stamp-duty-land-tax-buying-an-additional-residential-property
HMRC Stamp Duty Land Tax manual -
https://www.gov.uk/hmrc-internal-manuals/stamp-duty-land-tax-manual/sdltm09735
SDLT penalties for inaccurate returns are charged under Schedule 24 Finance Act 2007. HMRC’s approach to compliance (including Schedule 24 penalties) is set out in its Compliance Handbook. The Compliance Handbook pages on penalties can be found at the links below:
Compliance Handbook “Charging Penalties”
https://www.gov.uk/hmrc-internal-manuals/compliance-handbook/ch400000
Compliance Handbook “Charging Penalties: establishing penalty behaviour”
https://www.gov.uk/hmrc-internal-manuals/compliance-handbook/ch402050
Asked by: Andrew Snowden (Conservative - Fylde)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has assessed the potential impact of a zero rate of VAT on land intended for social housing on tax avoidance and abuse.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
The Government recently published a consultation on introducing a zero rate of VAT for land intended for social housing. The proposed policy is intended to simplify and accelerate the construction of social housing in line with the Government’s wider strategy to increase housing supply and support the delivery of 1.5 million new homes over the course of this Parliament.
As part of this consultation, the Government is seeking views on the administration of the relief, including safeguards which may be necessary to protect against any misuse.
Asked by: James Naish (Labour - Rushcliffe)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether taxpayers with outstanding Loan Charge liabilities who have continued to make payments under a Time to Pay arrangement since the Government announced its review of the Loan Charge, will have those payments taken into account when their liabilities are recalculated under the revised settlement framework.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
At Budget 2024, the Government committed to a new independent review of the Loan Charge. The purpose of the review was to bring the matter to a close for people who have not settled and paid their Loan Charge liabilities. The Review was published at Budget 2025.
The Government has accepted all but one of the Review’s recommendations, and in some areas has gone further. The Government has introduced legislation in Finance Act 2026 to provide for a generous new settlement offer which it hopes maximises the opportunity for individuals to come forward and settle. I am committed to delivering the Government’s ambition to bring this matter to a close for as many customers as possible.
Where a taxpayer within scope of the new settlement opportunity has already settled but not yet fully paid their Loan Charge liability, any payments already made will be credited against the new settlement opportunity amount. HMRC will not refund payments that have already been made.
HMRC began contacting customers to notify them of their eligibility for the new settlement opportunity from January 2026. When the new settlement opportunity is fully enacted, HMRC will contact customers again, in stages, to explain what it means for them based on their specific circumstances.
The Government’s response to the review represents a fair and proportionate attempt to provide a route to resolution for those who have not yet been able to settle with HMRC. In turn, this requires those individuals to now come forward and engage with HMRC in good faith.
Asked by: James Naish (Labour - Rushcliffe)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, A) whether HMRC will refund payments already made by taxpayers where a review under the revised Loan Charge settlement framework determines that a lower amount of tax is due than has already been paid, and B) whether any such refunds will be made directly to taxpayers or offset against revised liabilities.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
At Budget 2024, the Government committed to a new independent review of the Loan Charge. The purpose of the review was to bring the matter to a close for people who have not settled and paid their Loan Charge liabilities. The Review was published at Budget 2025.
The Government has accepted all but one of the Review’s recommendations, and in some areas has gone further. The Government has introduced legislation in Finance Act 2026 to provide for a generous new settlement offer which it hopes maximises the opportunity for individuals to come forward and settle. I am committed to delivering the Government’s ambition to bring this matter to a close for as many customers as possible.
Where a taxpayer within scope of the new settlement opportunity has already settled but not yet fully paid their Loan Charge liability, any payments already made will be credited against the new settlement opportunity amount. HMRC will not refund payments that have already been made.
HMRC began contacting customers to notify them of their eligibility for the new settlement opportunity from January 2026. When the new settlement opportunity is fully enacted, HMRC will contact customers again, in stages, to explain what it means for them based on their specific circumstances.
The Government’s response to the review represents a fair and proportionate attempt to provide a route to resolution for those who have not yet been able to settle with HMRC. In turn, this requires those individuals to now come forward and engage with HMRC in good faith.
Asked by: Anna Gelderd (Labour - South East Cornwall)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps HMRC is taking to ensure the timely processing of settlements arising from the implementation of the Independent Review of the Loan Charge.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
The new Loan Charge Settlement Opportunity (LCSO) is currently being legislated for and represents a fair and proportionate attempt to provide a route to resolution for those who have not yet been able to settle with HMRC. In turn, this requires taxpayers to now come forward and engage with HMRC in good faith.
When the new settlement opportunity is enacted, HMRC will contact customers again, in stages, to explain what it means for them based on their specific circumstances.
Asked by: Luke Taylor (Liberal Democrat - Sutton and Cheam)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment the Government has made of the potential impact of Loan Charge and disguised remuneration cases on affected individuals’ financial wellbeing and mental health.
Answered by Dan Tomlinson - Exchequer Secretary (Cabinet Office) (Jointly with HM Treasury)
Tackling tax avoidance continues to be a priority for the Government and has introduced additional criminal sanctions in Finance Act 2026. These will enhance the deterrent against promotion of tax avoidance and increase protection against harm caused to the exchequer, the tax system and taxpayers.
HMRC also regularly name promoters on Gov.uk and publish information about their schemes (and others connected to the selling of the schemes), such as company directors, legal advisors, to help customers identify schemes and steer clear of them.
However, HMRC has a duty to collect tax when it is legally due. I recognise dealing with large tax liabilities can lead to pressure on individuals. For those liable to the Loan Charge, the Government has introduced legislation in the Finance Act to provide for a generous new settlement offer.
HMRC is committed to working sensitively and pragmatically with taxpayers to reach settlement. This includes offering flexible payment terms where people need more time to pay their liabilities.