Commons Sense

House of Commons · Ministers' Questions

Loan Charge

Tuesday 11 October 2022 · 2 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 1 Not answered 0

Key points

  • The loan charge was announced in the 2016 Budget to tackle disguised remuneration tax avoidance.
  • In the 2022 spring statement, an Exchequer yield of 3.4 billion was estimated for the loan charge.
  • The Minister acknowledged the emotional and psychological impact of the loan charge on affected individuals.

Topics (select to filter)

Questions & Answers

Q1 Mike Amesbury Lab
Taxation
Context

No specific context provided other than the question itself.

Question

What estimate he has made of the revenue that will be raised by the loan charge. The loan charge was announced in 2016 to tackle disguised remuneration tax avoidance, and an estimated Exchequer yield of £3.4 billion was projected for it in the 2022 spring statement.

Answer from Richard Fuller

The loan charge was announced in the 2016 Budget as part of a package to tackle disguised remuneration tax avoidance. In the 2022 spring statement, it was estimated to produce an Exchequer yield of £3.4 billion. However, changes from the 2019 independent review have reduced this by an estimated £620 million.

Answered
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Q2 Mike Amesbury Lab
Taxation Mental Health
Context

Many people are facing significant financial distress and personal harm due to the loan charge scandal, leading to a request for an independent review.

Question

Too many ordinary people are facing huge bills, untold distress and, in some cases, personal harm and indeed suicide because of the loan charge scandal. Can the Minister and the Government now commit themselves to finally commissioning a truly independent review to deal with this mess?

Answer from Richard Fuller

I do not think that any Member who has met constituents affected by the loan charge can fail to be moved by its emotional and psychological impact. It is right for me, as a Minister, to look at the issue carefully and I will engage all interested parties.

Partly answered

Not addressed: commitment to commissioning an independent review

How: Will Look At The Issue Carefully, Engage All Interested Parties

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