Topical Questions 2022-03-15

2022-03-15

TAGS
Response quality

Questions & Answers

Q1 Partial Answer
Marsha de Cordova Lab
Battersea
Context
The Treasury has helped deliver economic sanctions in response to Russia's unprovoked aggression against Ukraine.
In response to the cost of living crisis and the planned real-terms cut to social security, will the Chancellor increase the level of social security support in his spring statement next week?
Welfare is uprated annually by September's CPI. We have cut the tax rate to ensure that work pays, delivering a £2 billion tax cut to 2 million on low incomes.
Assessment & feedback
Did not directly address whether social security support will be increased in the spring statement.
Under Review
Response accuracy
Q2 Partial Answer
Marsha de Cordova Lab
Battersea
Context
With the cost of fuel reaching record levels, haulage companies are facing high costs.
Has my right hon. Friend considered a special reduction, of say 15%, for vital fuel users such as haulage companies?
I am proud that we delivered the eleventh freeze in fuel duty in a row, delivering huge savings for households and businesses over the past several years.
Assessment & feedback
Did not directly address whether a special reduction would be considered.
Change Of Subject
Response accuracy
Q3 Partial Answer
Context
Millions are worried about soaring bills, while BP has compared its record profits from inflated prices to a cash machine.
Why will the Chancellor not make North sea oil and gas companies pay their fair share of taxes to tackle the enormous cost of living crisis?
Oil and gas companies are taxed at double the rate of all other companies. There are billions of pounds of projects waiting to be unlocked.
Assessment & feedback
Did not directly address whether taxes would increase for oil and gas companies.
Hedging Language
Response accuracy
Q4 Partial Answer
Rachel Reeves Lab
Leeds West and Pudsey
Context
The poorest households face an inflation rate 50% higher than the richest households, with 700,000 more children in poverty.
Why is the Chancellor intent on shielding oil executives instead of protecting the poorest in society?
The best way to help people cope with rising energy costs and bills over time is to make sure we have a diversified and secure supply of energy.
Assessment & feedback
Did not directly address protecting the poorest in society.
Change Of Subject
Response accuracy
Q5 Direct Answer
Rachel Reeves Lab
Leeds West and Pudsey
Context
The hon. Member proposed a traffic light system to inform the public of the tax approval status of investment schemes.
Has the Minister had an opportunity to consider my proposals for a traffic light system to inform the public of the tax approval status of investment schemes?
HMRC is keen to make clear which schemes do not work, and that is why the Government legislated in the Finance Act 2022 to allow HMRC to name promoters and the schemes they promote.
Assessment & feedback
Response accuracy
Q6 Partial Answer
Context
Research by Scope showed that one third of disabled households were already living in poverty last year.
What do Ministers have to say to disabled people who are already struggling and are now living in fear of worse to come?
We are spending record amounts on supporting those who are disabled. Relative to the OECD, I think we are spending in excess of the average for other leading countries.
Assessment & feedback
Did not directly address concerns about worsening conditions.
Hedging Language
Response accuracy
Q7 Partial Answer
Context
The Chancellor cut universal credit withdrawal rates, delivering an 8% tax cut for the least well off. However, this combined with income tax deductions often results in effective tax rates over 70% for low earners.
I am concerned that despite cutting universal credit withdrawal rates, the combined deductions from income tax and benefits withdrawals still top 70% for the lowest-paid workers. If high tax rates damage work incentives for higher earners, why should it be different for lower earners? How much more could we encourage low-income individuals to work if these rates were further reduced?
My hon. Friend is right to highlight the effect of a high effective tax rate on incentives to work. That is why the Government reduced the universal credit taper rate from 63% to 55% and increased the universal credit work allowance by £500 per year, which is essentially a tax cut for the lowest-paid, worth more than £2 billion in 2022-23, and means that 1.9 million households will keep an extra £1,000 per year on average.
Assessment & feedback
The answer does not address the specific request for additional reductions in effective tax rates beyond the mentioned changes.
Response accuracy
Q8 Partial Answer
Bill Esterson Lab
Sefton Central
Context
Waste recycling businesses face an increase in tax on red diesel, which could cost them thousands of pounds per month starting from April.
I take it that the Chancellor agrees that waste recycling has important economic and environmental benefits. What plans does he have to address the sudden rise in costs for these businesses?
The changes to the taxation of red diesel were announced back in 2020, were confirmed in spring 2021 and are coming in this year, so businesses have had plenty of time to prepare. It is absolutely right that we tax fuels that are highly polluting; unfortunately, diesel is one of them.
Assessment & feedback
The answer avoids addressing the specific request for plans to address the rise in costs for waste recycling businesses.
Changes Announced Years Ago
Response accuracy
Q9 Partial Answer
Context
Hartlepool supports the sanctions imposed on Putin's regime, and there is a post-Brexit windfall refund of £200 million from the European research fund for coal and steel.
How will the post-Brexit windfall refund of £200 million from the EU research fund for coal and steel be spent to support our struggling steel industries?
My hon. Friend is an active campaigner for the steel sector in her constituency. I can assure her that energy-intensive industries such as steel receive substantial support from the Government, including free allowances from the emissions trading scheme and the £315 million industrial energy transformation fund.
Assessment & feedback
The answer does not address the specific request for plans using the EU research fund refund to support the UK's steel industry.
Response accuracy
Q10 Partial Answer
Sammy Wilson DUP
East Antrim
Context
A statutory instrument was proposed to amend customs arrangements for the UK by excluding Northern Ireland from them, changing the term “United Kingdom” to “Great Britain”, contrary to previous assurances and the protocol.
The motion relating to a statutory instrument entitled the Customs (Amendment) Regulations 2022 was not moved. Can the Financial Secretary give an assurance that it will not be brought back to the House until there has been a meeting to explain why it is necessary, its impact on Northern Ireland and why it was introduced?
I am happy to answer that question. I understand completely the concerns of people in Northern Ireland about the impact of the protocol; the right hon. Member will know how seriously the Government take those concerns and how we are negotiating with the EU to ensure that we get the right arrangement for Northern Ireland.
Assessment & feedback
The answer does not directly address the request for a meeting to explain the statutory instrument's necessity, impacts on Northern Ireland, and reasons for introduction.
Response accuracy
Q11 Partial Answer
Context
The Chancellor took swift actions to protect consumers from rising energy prices but emergency intervention is not sustainable in the long term and undermines our need to end reliance on foreign fossil fuels.
What steps will my right hon. Friend take to invest in domestic renewable and nuclear energy, as well as improved energy efficiency?
My hon. Friend has made an extremely good point. Now is the moment for us to go full steam ahead with our transition away from fossil fuels. We are investing in nuclear, we are accelerating our progress on renewables, and we are boosting energy efficiency in homes across the country.
Assessment & feedback
The answer provides general principles without specific commitments or timelines.
General Commitment To Transition
Response accuracy
Q12 Partial Answer
Emma Lewell Lab
South Shields
Context
When the Government set up the coronavirus business interruption loan scheme, they failed to agree on guidance for early repayments, leading businesses to face extortionate fees and potential bankruptcy.
Why is the Chancellor putting the profits of unscrupulous lenders above the recovery of our small businesses?
He is not doing that. The schemes were set up in various ways, depending on the size of businesses, and it will be for the individuals who borrowed money to engage with the lenders to refinance those loans on a case-by-case basis.
Assessment & feedback
The answer avoids addressing the specific request for actions by the government regarding high fees charged by lenders.
Individual Responsibility
Response accuracy
Q13 Partial Answer
Context
People in mansion blocks where heating is paid for centrally do not currently benefit from the energy price cap, which is seen as an anomaly.
Will my hon. Friend meet me to discuss ways of ameliorating this situation?
My hon. Friend has made an important point. We recognise that some people living in mansion blocks are part of a heat network and are not covered by the price cap. I draw my hon. Friend's attention to the £144 million in discretional funding that went to councils as part of the recent £9 billion energy support package, and to forthcoming legislation in which we will give Ofgem new powers to regulate prices in the sector as a matter of priority.
Assessment & feedback
The answer acknowledges the issue but does not provide specific measures for addressing it directly.
Acknowledgment Without Specifics
Response accuracy
Q14 Partial Answer
Chris Bryant Lab
Rhondda and Ogmore
Context
The question was prompted by concerns over reconstruction efforts for Ukraine. The speaker noted that seizing assets, beyond freezing them, could better ensure funds go towards rebuilding efforts.
We really must start seizing assets and not just freezing them. That is the only way in which we can make sure that the money goes towards the reconstruction of Ukraine. Would it not also be a good idea for us not just to look at the really famous people like Abramovich, but to look at the people who own £750,000 properties in the UK and who may be the cousins, brothers, sisters, parents or some other proxy of Russian oligarchs in the UK? Must we not also do far more to tackle the personal finance of President Putin, much of which, I am told, is in the UK?
As ever, the hon. Gentleman has made a powerful point about a very important matter. Work with our allies is ongoing to establish how we can deepen our response in a co-ordinated way in order to make a real impact on illicit finance.
Assessment & feedback
Specifically avoiding mentioning the seizure of assets or focusing on people who own £750,000 properties and their connections to Russian oligarchs.
Work With Our Allies Is Ongoing Deepen Our Response In A Co-Ordinated Way
Response accuracy
Q15 Partial Answer
Context
The MP regularly visits businesses to meet apprentices eager for skill development, highlighting the role apprenticeships can play in addressing workforce shortages.
I regularly visit businesses throughout my constituency, and have been fortunate enough to meet some very talented apprentices who are eager to develop their skills and build careers. Does my hon. Friend agree that apprenticeships will play a key role in closing the skills gap by helping young people to gain employment in more highly skilled roles, and can he say what action the Government are taking to encourage more employers to take on more apprentices?
My hon. Friend has made an excellent point. He is right to champion the value of apprenticeships, in which the Government keenly believe. I had a great roundtable with apprentices in Newcastle recently, and heard for myself just what a difference they are making both to their employer and to the wider economy.
Assessment & feedback
Did not provide specifics on government actions or measures taken to encourage more employers to take on apprentices.
Champion The Value Of Apprenticeships Heard For Myself Just What A Difference They Are Making
Response accuracy
Q16 Partial Answer
Context
The Chancellor's National Insurance changes raised an estimated £13 billion. The question highlights the coincidence that this amount is similar to the unmet borrowing expectation at year-end.
It is estimated that the Chancellor's smash and grab on national insurance will raise £13 billion. By happy coincidence, at the end of the financial year the Chancellor will have an extra £13 billion-worth of borrowing, because the Government have not met the borrowing expectations. Will the Chancellor use that happy coincidence to scrap the tax on jobs?
The forecast for the public finances will be updated next week. As for jobs, I am happy to confirm that, according to today's figures, there are record numbers of people on payrolls, record numbers of vacancies, and, indeed, more people in work now than before the crisis—and the unemployment rate is now lower than, or at the same level as, it was before coronavirus hit.
Assessment & feedback
Did not address whether the Chancellor will use raised funds to scrap National Insurance tax on jobs.
Forecast For Public Finances Will Be Updated Next Week Record Numbers Of People In Work
Response accuracy
Q17 Partial Answer
David Davis Con
Goole and Pocklington
Context
The MP notes that while many of the powers in the Coronavirus Act 2020 have been repealed, the Act itself has not. This raises concerns about control over expenditure and parliamentary power.
The Government have repealed many of the powers in the Coronavirus Act 2020, but they have not repealed the Act itself. This means that the Treasury can still order Her Majesty's Revenue and Customs to start support schemes such as furlough without recourse to Parliament. Control of expenditure is Parliament's first responsibility, so are the Government going to repeal the Act in total, or will the Treasury take action to give the proper powers back to Parliament?
I would be very happy to look into the matter that my right hon. Friend raises.
Assessment & feedback
Did not provide any commitment or timeline for action on the Act itself or returning spending control powers to Parliament.
Happy To Look Into The Matter
Response accuracy