Written questions by Stephenson.

What assessment she has made of the potential impact of the business rates system on pub closures.

We are creating a fairer business rates system that protects the high street, supports investment, and is fit for the 21st century. From 2026-27, we intend to introduce permanently lower tax rates for retail, hospitality, and leisure properties with rateable values below £500,000, which will benefit almost all pubs in England. We will confirm the rates for these new multipliers at Budget 2025, taking account of the outcomes of the 2026 revaluation as well as the broader economic and fiscal context. Until these new tax rates are introduced, in 2025-26, RHL businesses will receive a 40 per cent relief on their eligible properties up to a cash cap of £110,000 per business. Under the previous Government, RHL relief was due to end entirely in April 2025. By extending the relief, the Government has saved the average pub, with a ratable value of £16,800, over £3,300.

When her Department plans to publish the income generated from applying VAT to school fees in 2024-25.

The Annex to the Government Response to the Technical Note, Government_Response_to_the_Technical_Note_on_Applying_VAT_to_Private_School_Fees_and_Removing_the_Business_Rates_Charitable_Rate_Relief.pdf, sets out the expected VAT revenue resulting from this measure and the costing methodology. The Government’s estimate of the revenue is £460 million in 2024/25, rising to £1,725 million in 2029/30.This costing has been certified by the Office for Budget Responsibility. VAT revenue overall is recognised in the National Accounts on an accruals basis. As set out in the above Annex, the VAT liability in 2024/25 is time apportioned for the implementation date of 1 January 2025. The actual VAT liability reported on VAT returns for any month or quarter will depend on various factors, including the date when schools meet the requirement to register for VAT (if not already registered), and which of the staggered quarterly accounting periods apply to the business.

If she will make an estimate of the average amount of tax paid by each person in (a) 2024-25 and (b) 2025-26.

In 2024-25, HMRC expect the average amount of Income Tax paid by income tax payers to be £7,950.In 2025-26, HMRC expect the average amount of Income Tax paid by income tax payers to be £8,270.

What steps her Department plans to take to reduce regulations on financial service businesses.

In the March Regulation Action Plan, the government committed to cutting the administrative costs of regulation for business by 25% by the end of the Parliament. This will take a whole-of-government approach to establish a baseline for the administrative costs of regulation and deliver an ambitious programme of reforms that remove or streamline administrative processes. The Action Plan also announced that it will consolidate the Payments Systems Regulator into the Financial Conduct Authority, to provide a more streamlined approach to regulation for businesses. It also confirmed that the Financial Conduct Authority and Prudential Regulation Authority are taking steps to review and streamline reporting requirements for financial services firms. The Financial Services Growth and Competitiveness Strategy, part of the Industrial Strategy, will set out the government’s next steps to ensure that the UK’s financial services regulatory environment is proportionate, predictable and internationally competitive. This will be published on 15 July .

With reference to the press release entitled PM: North will no longer be held to ransom by broken transport system, published on 28 March 2025, how these projects will be funded.

Spending Review 2025 set transport budgets for day‑to‑day spending until 2028‑29, and until 2029‑30 for capital investment.This included funding for our city regions receiving the final year of City Region Sustainable Transport Settlements (CRSTS 2026-27) as well as £15.6bn (2027-28 to 2031-32) for the elected Mayors of some of our largest city regions via the Transport for City Regions (TCR) settlement, supporting them to invest in their local transport priorities.In addition, the North will receive £3.5bn for the Transpennine Route Upgrade (TRU) to drive forward delivery at pace. This will improve connectivity across the North between Manchester and York, electrifying the entire route, increasing reliability, slashing delays and cancellations and reducing journey times. For instance, the journey time for commuters travelling between Manchester and Leeds will fall from 55 to 41 minutes.

If she will make an estimate of how many non-domiciled residents have left the country in each month since July 2024.

Official Statistics around non-domiciled taxpayers in the UK [1] will be published in July 2025 and will contain information about taxpayers who claim non-domiciled status in the UK for the tax year 2023-24.[1] https://www.gov.uk/government/statistics/statistics-on-non-domiciled-taxpayers-in-the-uk

What assessment her Department has made of the barriers to direct retail investment in shares by UK citizens; and if she will make an assessment of the potential impact of those barriers on economic growth.

The government is committed to supporting retail participation in UK capital markets to ensure consumers can benefit from the long-term financial security that investing in shares can provide. The government ran a Call for Evidence as part of the Financial Services Growth and Competitiveness Strategy and welcomed views on how to improve consumer engagement with investing. The Strategy will be published at Mansion House on 15 July.

What assessment her Department has made of the potential impact of the introduction of the Private Intermittent Securities and Capital Exchange System on economic growth; and when she expects the regulatory framework to be finalised.

I refer the Member to the answer given to his question in PQ UIN 57791 on 12 June 2025.

What assessment she has made of the potential impact of the introduction of the Private Intermittent Securities and Capital Exchange System on economic growth; and when the regulatory framework for that system will be finalised.

In May 2025, the government delivered legislation to establish the Private Intermittent Securities and Capital Exchange System (PISCES). An impact assessment was published alongside it. The Financial Conduct Authority (FCA) published their rules underpinning PISCES on 10 June 2025. This finalises the regulatory framework. Those wishing to operate a PISCES platform can now apply to the FCA.

Pursuant to the Answer of 3 March 2025 to Question 32505 on Winter Fuel Payment, whether her Department measures the potential impact of its policies on consumer spending.

HM Treasury does not prepare forecasts for the UK economy. These forecasts, including assessments of the impact of policy decisions on UK household consumption, are the responsibility of the independent Office for Budget Responsibility (OBR). The OBR does not typically publish estimates of the impact of individual policies on household consumption. Instead, the net effect of the government’s policy package is assessed by the OBR. HM Treasury considers household consumption and retail sales data published by the Official for National Statistics as part of its ongoing monitoring of the economy. According to the ONS’s First Quarterly estimate, UK household consumption grew by 0.2% in Q1 2025.

What assessment she has made of the potential impact of increased NICs on the financial viability of Oakwood Theme Park in Pembrokeshire.

A Tax Information and Impact Note (TIIN) was published alongside the introduction of the Bill containing the changes to employer National Insurance contributions (NICs). The TIIN sets out the impact of the policy on the exchequer, the economic impacts of the policy, and the impacts on individuals, businesses, and civil society organisations, as well as an overview of the equality impacts. The Government decided to protect the smallest businesses from these changes by increasing the Employment Allowance from £5,000 to £10,500. This means that this year, 865,000 employers will pay no NICs at all, and more than half of all employers will either gain or will see no change. While retail, hospitality and leisure are devolved responsibilities, the UK Government is committed to supporting the Welsh tourism and hospitality sectors. In February, the Government announced a £15 million investment for Venue Cymru and the Newport Transporter Bridge. These are two key projects that will help boost the tourism and culture sectors in Wales.

With reference to the oral contribution by the Parliamentary Secretary to the Treasury of 3 March 2025, Official Report, column 40WH, on what evidential basis she estimated that 100 additional private schools would close over three years.

At Autumn Budget 2024, the Government published the following Policy Paper Private school fees — VAT measure - GOV.UK . The basis for the estimate of school closures is set out in this paper under the heading ‘Impact on business including civil society organisations’. Further explanation of the methodology behind the estimate of the demand reduction referred to in the above Paper is set out in the Annex to the Government_Response_to_the_Technical_Note_on_Applying_VAT_to_Private_School_Fees_and_Removing_the_Business_Rates_Charitable_Rate_Relief.pdf, under the heading ‘Demand’. This was also published at the Autumn Budget.

What discussions she has had with the Secretary of State for Education on the potential disruption to the education sector of introducing the VAT levy on independent school fees in the middle of the academic year.

The Government carefully considered the timing of implementation of VAT on private school fees and decided to apply VATfrom January 2025, in order to raise the funding needed to help deliver its education priorities. As a result of the January start date, the VAT policy is forecast to raise £460 million in 2024/25. Schools and parents had five months to prepare for these changes, and HMRC put in place measures to support schools, including bespoke guidance, updated registration systems, and additional resources to process applications.

If she will make an assessment of the potential merits of extending the Air Passenger Duty exemption for children under 16 years old to include those travelling in (a) Premium Economy and (b) any other cabin class.

Children under 16 years old on the date of the flight, and in the lowest class of travel, are exempt from Air Passenger Duty (APD). If children under 16 years old are travelling in any other class (such as premium economy) or in business jets, they are not exempt. Children under 2 years old without a seat are exempt from Air Passenger Duty for all classes of travel. Airline operators declare the number of chargeable passengers by destination band and by rate. They do not break down chargeable passengers by age, and therefore this is not information that HMRC collects. The government has published annual statistics and analysis on airline passenger numbers and Air Passenger Duty (APD) receipts in the UK which are administered by HM Revenue and Customs. It is available at: https://www.gov.uk/government/statistics/air-passenger-duty-bulletin.

Whether she has made a comparative assessment of the Standard Rate of Air Passenger Duty in (a) the UK, (b) Germany, (c) France, (d) Italy and (e) Spain.

Air Passenger Duty (APD) applies to airlines and is the principal tax on the aviation sector. For a given distance-based band, the standard rate applies to travel in any non-economy class of travel or where the seat pitch is more than 1.016 metres (40 inches). This includes premium economy, as well as first class and business class. The Government is clear that APD is an appropriate tax that ensures airlines make a fair contribution to the public finances, particularly given that tickets are VAT free and aviation fuel incurs no duty. Other countries also have different forms of aviation taxes.

With reference to the press release entitled Government steps in to back British business in changing world, published on 14 April 2025, whether any of the funding is additional to funding provided at the Spring Statement 2025.

The Government is committed to supporting British businesses as the world enters a new era of global trade. The government has increased the capacity of UK Export Finance (UKEF) to provide support for exporters by £20 billion and has expanded the British Business Bank (BBB) Growth Guarantee Scheme. UKEF operates at no net cost to the taxpayer and increasing its limits does not have a fiscal cost. BBB support is funded within the overall spending plans set out at Spring Statement 2025.

If she will make an estimate of the number of SME owners that have left the UK since 5 July 2024.

Business Population Estimates show trends in the number of businesses in the UK by size, alongside sectoral and regional distribution: https://www.gov.uk/government/statistics/business-population-estimates-2024/business-population-estimates-for-the-uk-and-regions-2024-statistical-release. The ONS also publishes data on business demography, showing the annual change in the number of UK businesses (“birth” and “death” rates): https://www.ons.gov.uk/businessindustryandtrade/business/activitysizeandlocation/bulletins/businessdemography/latest. At Autum Budget 2024, the Government announced generous tax reforms to support small businesses including: more than doubling the employment allowance to £10,500; commitments in the Corporate Tax Roadmap to maintain the Small Profits Rate and marginal relief at their current rates and thresholds; and freezing the small businesses multiplier for 2025/26. The Government has also committed £250m in 25-26 for the British Business Bank’s small business loans programmes, including Start Up Loans and the Growth Guarantee Scheme.

What estimate she has made of total revenue generated by Air Passenger Duty from children aged under 16 years old who travelled in Premium Economy in each of the last three years.

Children under 16 years old on the date of the flight, and in the lowest class of travel, are exempt from Air Passenger Duty (APD). If children under 16 years old are travelling in any other class (such as premium economy) or in business jets, they are not exempt. Children under 2 years old without a seat are exempt from Air Passenger Duty for all classes of travel. Airline operators declare the number of chargeable passengers by destination band and by rate. They do not break down chargeable passengers by age, and therefore this is not information that HMRC collects. The government has published annual statistics and analysis on airline passenger numbers and Air Passenger Duty (APD) receipts in the UK which are administered by HM Revenue and Customs. It is available at: https://www.gov.uk/government/statistics/air-passenger-duty-bulletin.

What assessment she has made of the potential impact of future rates of Air Passenger Duty on the government’s ambition for the United Kingdom to welcome 50 million international visitors per year by 2030.

Air Passenger Duty (APD) only applies to UK-departing flights. The Government has published Tax Impact and Information Notes (TIINs) assessing the impacts of the 2025/26 and 2026/27 Air Passenger Duty (APD) rates, which can be found at GOV.UK: https://www.gov.uk/government/publications/changes-to-air-passenger-duty-rates-from-1-april-2025/air-passenger-duty-rates-from-1-april-2025-to-31-march-2026 https://www.gov.uk/government/publications/changes-to-air-passenger-duty-rates-from-1-april-2026/air-passenger-duty-rates-from-1-april-2026-to-31-march-2027

With reference to the press release entitled PM: North will no longer be held to ransom by broken transport system, published on 28 March 2025, how these projects will be funded.

Where these projects required funding in 25/26, this funding has already been allocated to the Department for Transport. Funding allocations for future years will be set out at the upcoming spending review on June 11th.