Written questions by Morello.

What assessment she has made of the potential impact on fraud victims of proposals allowing the Financial Ombudsman Service to pause cases at registration pending police or Serious Fraud Office investigations.

The government takes the issue of fraud very seriously and is dedicated to protecting the public from this appalling crime. As set out in our manifesto and as part of our Plan for Change, the government will introduce a new, expanded Fraud Strategy encompassing the modern-day threats that so many people become a victim to. The government recognises the important role the Financial Ombudsman Service (FOS) plays in providing consumers with a cost-free and quick route to resolve disputes with financial services firms. However, the government’s review of the FOS concluded that in a small but significant minority of cases, the framework in which the FOS operates has resulted in it acting as a quasi-regulator. That is why, as part of the Leeds Reforms, the Chancellor announced the most significant package of reforms to the FOS since its inception to provide greater certainty and predictability for consumers and firms who use the FOS. The government’s consultation on the proposed reforms closed on 8 October and it will set out next steps in due course. Victims of fraud who wish to make a complaint about their financial services provider will continue to be able to bring complaints to the FOS, and the proposed changes to the legislative framework under which the FOS operates will not affect the FOS’s role in handling these complaints. The Financial Conduct Authority (FCA) expects all firms to maintain strong systems and controls with regards to fraud prevention to deliver good outcomes for customers, including seeking to avoid foreseeable harm. It has made tackling fraud one of its priorities in its 5-year strategy from 2025 to 2030. The FCA is continuing to prioritise fighting financial crime, including by working with firms to strengthen their anti-crime systems, working with other relevant agencies who tackle crime to share intelligence and coordinate action, and working with consumers to raise awareness and ensure they have the tools they need to protect themselves.

Whether she plans to change farming inheritance tax reliefs in the Autumn Budget 2025.

The Government believes its reforms to agricultural property relief and business property relief from 6 April 2026 get the balance right between supporting farms and businesses, fixing the public finances, and funding public services. The reforms reduce the inheritance tax advantages available to owners of agricultural and business assets, but still mean those assets will be taxed at a much lower effective rate than most other assets. Despite a tough fiscal context, the Government will maintain very significant levels of relief from inheritance tax beyond what is available to others and compared to the position before 1992. Where inheritance tax is due, those liable for a charge can pay any liability on the relevant assets over 10 annual instalments, interest-free. The Government will invest more than £2.7 billion a year in sustainable farming and nature recovery from 2026-27 until 2028-29. This includes the largest financial investment into nature-friendly farming ever.

What recent assessment she has made of the potential impact of inheritance tax changes on family farms in West Dorset constituency.

I refer the Honourable Member to the answer given to UIN 84115.

If she will make it her policy to allocate additional funding to support people with the cost of living in West Dorset in the Autumn Budget 2025.

The government is committed to improving living standards for all, in every part of the UK, and supporting households with the high cost of living. This is why the government has already raised the minimum wage, extended the £3 bus fare cap, expanded free school meals to over half a million more children, and is rolling out free breakfast clubs for every child in the country. The Chancellor will make decisions on Budget in the round and these will be announced in the usual way on 26 November 2025.

What assessment her Department has made of the potential impact of changes to Inheritance Tax on the long-term financial viability of family farms in West Dorset constituency.

The Government believes its reforms to agricultural property relief and business property relief from 6 April 2026 get the balance right between supporting farms and businesses, fixing the public finances, and funding public services. The reforms reduce the inheritance tax advantages available to owners of agricultural and business assets, but still mean those assets will be taxed at a much lower effective rate than most other assets. Despite a tough fiscal context, the Government will maintain very significant levels of relief from inheritance tax beyond what is available to others and compared to the position before 1992. Where inheritance tax is due, those liable for a charge can pay any liability on the relevant assets over 10 annual instalments, interest-free. Information from claims is not recorded to enable regional or national breakdowns of the number of estates expected to be affected. However, the Government has set out that the reforms are expected to result in up to 520 estates across the UK claiming agricultural property relief, including those also claiming business property relief, paying more inheritance tax in 2026-27. Almost three-quarters of estates claiming agricultural property relief, including those that also claim for business property relief, will not pay any more tax as a result of the changes in 2026-27, based on the latest available data. The Government published a tax information and impact note on 21 July 2025 and this is available at www.gov.uk/government/publications/reforms-to-agricultural-property-relief-and-business-property-relief/agricultural-property-relief-and-business-property-relief-reforms. The Government will invest more than £2.7 billion a year in sustainable farming and nature recovery from 2026-27 until 2028-29. This includes the largest financial investment into nature-friendly farming ever.

If she will make it her policy to allocate funding to support people with the cost of living in the Autumn Budget 2025.

The government is committed to improving living standards for all, in every part of the UK, and supporting households with the high cost of living. This is why the government has already raised the minimum wage, extended the £3 bus fare cap, expanded free school meals to over half a million more children, and is rolling out free breakfast clubs for every child in the country. The Chancellor will make decisions on Budget in the round and these will be announced in the usual way on 26 November 2025.

If she will make it her policy to introduce targeted measures to address the cost of living pressures in (a) West Dorset constituency and (b) other rural areas.

The government is committed to improving living standards for all, in every part of the UK, and supporting households with the high cost of living. This is why the government has already raised the minimum wage, extended the £3 bus fare cap, expanded free school meals to over half a million more children, and is rolling out free breakfast clubs for every child in the country. The Chancellor will make decisions on Budget in the round and these will be announced in the usual way on 26 November 2025.

If she will make it her policy to allocate funding for rainwater management strategies in the Autumn Budget 2025.

The Chancellor will set out any new policy at the Autumn Budget in the usual way. The Government is already investing a record £10.5bn to build new flood defences and repair existing defences. This is the largest flood programme in history and will protect nearly 900,000 properties from the devastation of flooding.

Whether she has had discussions with mortgage providers on their policies in relation to excluding Section 157 properties by default.

HM Treasury is regularly in contact with mortgage lenders on all aspects of their mortgage business to understand their position and current lending conditions. However, the pricing of mortgages, including the availability of mortgage finance for particular properties, is a commercial decision for lenders in which the Government does not intervene.I would encourage any prospective homeowner to shop around and speak to a mortgage broker in order to find the best possible mortgage product for their circumstances.

If she will hold discussions with mortgage providers on the potential impact of excluding Section 157 properties by default on rural housing markets.

HM Treasury is regularly in contact with mortgage lenders on all aspects of their mortgage business to understand their position and current lending conditions. However, the pricing of mortgages, including the availability of mortgage finance for particular properties, is a commercial decision for lenders in which the Government does not intervene.I would encourage any prospective homeowner to shop around and speak to a mortgage broker in order to find the best possible mortgage product for their circumstances.

If she will bring forward legislative proposals to prevent mortgage providers from excluding Section 157 properties by default.

HM Treasury is regularly in contact with mortgage lenders on all aspects of their mortgage business to understand their position and current lending conditions. However, the pricing of mortgages, including the availability of mortgage finance for particular properties, is a commercial decision for lenders in which the Government does not intervene.I would encourage any prospective homeowner to shop around and speak to a mortgage broker in order to find the best possible mortgage product for their circumstances.

What steps her Department is taking to decrease (a) National Insurance and (b) business rates costs for pubs (i) since the Spending Review and (ii) ahead of the Autumn Budget in (A) rural constituencies and (B) West Dorset.

The Government has taken difficult but necessary decisions to deliver long-term growth. Fixing the public finances is critical to creating long-term stability in which businesses can invest and thrive. The Government recognises the need to protect the smallest employers, which is why we have more than doubled the Employment Allowance to £10,500. This means more than half of businesses with NICs liabilities either gain or see no change this year. Businesses will still be able to claim employer NICs reliefs including those for under-21s and under-25 apprentices. From 2026-27, we intend to introduce permanently lower business rates multipliers for retail, hospitality, and leisure (RHL) properties in England with rateable values (RVs) below £500,000. This permanent tax cut will ensure that eligible RHL businesses benefit from much-needed certainty and support. Ahead of these changes being made, the Government recognises that business will need support in 2025-26. As such, we have extended the RHL relief for one year at 40 per cent 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 RV of £16,800, over £3,300. To ensure that key amenities are available, and that community assets are protected in rural areas, Rural Rates Relief provides 100% business rates relief for certain properties in eligible rural areas with populations below 3,000, including those that are the only public house, with a RV of up to £12,500.

If she will take steps to exempt domestic wine producers from wine duty rates.

The wine industry makes a vital contribution to our economy and society. However, an exemption from alcohol duty that applied only to domestic wine producers is likely to be inconsistent with the UK’s legal obligations.  Any cut, or even a freeze, to alcohol duty represents a cost to the Exchequer. The baseline assumption is that alcohol duty will be increased annually, so that it does not fall in real termsAs with all taxes, the Government welcomes representations from stakeholders to inform policy development.

What estimate she has made of the loss of tax revenue from non-VAT registered companies with turnover above the VAT threshold in the next five years.

HM Revenue and Customs (HMRC) estimates the size of the tax gap, which is the difference between the amount of tax that should, in theory, be paid to HMRC, and what is actually paid. The tax gap statistics and details of the estimate methodologies are published annually and are available at: Measuring tax gaps 2025 edition: tax gap estimates for 2023 to 2024 - GOV.UK. The latest estimate of the tax gap for VAT is 5.0% of theoretical VAT liability, or £8.9 billion in absolute terms, for tax year 2023 to 2024. This figure implicitly captures, alongside other sources of non-compliance, companies failing to register for VAT, however a separate breakdown is not separately published due to the methodological approach used to calculate it and the associated uncertainties. HMRC does not make projections of the future loss of tax revenue due to companies failing to register for VAT. ‘Measuring tax gaps 2026 edition: tax gaps estimates for 2024 to 2025’ is scheduled for June 2026.

What recent assessment she has made of the potential impact of proposed Inheritance Tax changes on family (a) businesses and (b) farms.

The Government believes its reforms to agricultural property relief and business property relief from 6 April 2026 get the balance right between supporting farms and businesses, and fixing the public finances. The reforms reduce the inheritance tax advantages available to owners of agricultural and business assets, but still mean those assets will be taxed at a much lower effective rate than most other assets. Despite a tough fiscal context, the Government will maintain very significant levels of relief from inheritance tax beyond what is available to others and compared to the position before 1992. Where inheritance tax is due, those liable for a charge can pay any liability on the relevant assets over 10 annual instalments, interest-free. The Government has set out the reforms are expected to result in up to 520 estates claiming agricultural property relief, including those also claiming business property relief, paying more inheritance tax in 2026-27. Almost three-quarters of estates claiming agricultural property relief, including those that also claim for business property relief, will not pay any more tax as a result of the changes in 2026-27, based on the latest available data. The Government has also set out that around 1,500 estates across the UK only claiming business property relief are expected to pay more inheritance tax in 2026-27, with around 1,000 of these expected to only hold shares designated as “not listed” on the markets of recognised stock exchanges, such as the Alternative Investment Market. The remaining 500 estates will include business assets from sectors across the economy that are eligible for business property relief. These reforms mean that around three-quarters of estates claiming business property relief in 2026-27 (excluding those estates only holding shares designated as “not listed”) will not pay any more inheritance tax in 2026-27. The reforms to agricultural property relief and business property relief are forecast to raise a combined £520 million in 2029-30. The independent Office for Budget Responsibility certified this costing at Autumn Budget 2024 and it does not expect the reforms to have a significant macroeconomic impact. The Government published a tax information and impact note on 21 July 2025 alongside the draft legislation. This is available at www.gov.uk/government/publications/reforms-to-agricultural-property-relief-and-business-property-relief/agricultural-property-relief-and-business-property-relief-reforms.

What steps she plans to take to ensure transparency in the modelling of the proposed Inheritance Tax changes.

The Government published information in the normal way at Autumn Budget 2024 about the assumptions and methodologies for the costing of reforms. These costings, including those relating to inheritance tax, were all certified by the independent Office for Budget Responsibility (OBR). The policy costings document is available at https://assets.publishing.service.gov.uk/media/6721d2c54da1c0d41942a8d2/Policy_Costing_Document_-_Autumn_Budget_2024.pdf. The OBR published more information in January 2025 on the modelling for the forthcoming reforms to inheritance tax. Information about the reforms to agricultural property relief and business property relief is available at https://obr.uk/docs/dlm_uploads/IHT-APR-and-BPR-supplementary-release-Jan-2025.pdf. Information about the reforms to the inheritance tax treatment of pensions is available at https://obr.uk/docs/dlm_uploads/IHT-on-pensions-supplementary-release-Jan-2025.pdf.

If she will commission an independent review of the proposed changes to Inheritance Tax.

The Government has set out the rationale, analysis, and expected impact of all the reforms to inheritance tax announced at Autumn Budget 2024. The independent Office for Budget Responsibility certified the costings are reasonable and central for these reforms. This includes the reforms to agricultural property relief and business property relief from 6 April 2026, the reform to the inheritance tax treatment of pensions from 6 April 2027, and the fixing of the nil-rate band and residence nil-rate band at their current levels for a further two years in 2028-29 and 2029-30. The Government has no plans to commission an independent review of the reforms.

Whether her Department has made a recent assessment of the potential impact of lowering the VAT threshold on the economy.

Any change to the VAT threshold would have potential impacts on small businesses, the economy as a whole, and tax revenues, which the Government would need to consider carefully. The Government keeps all taxes under review and any changes are announced at fiscal events.

What steps her Department is taking to support people facing difficulties in obtaining mortgages for ex-Right to Buy properties.

HM Treasury is regularly in contact with mortgage lenders on all aspects of their mortgage business to understand their position and current lending conditions. However, the pricing of mortgages, including the availability of mortgage finance for particular properties, is a commercial decision for lenders in which the Government does not intervene. I would encourage any prospective homeowner to shop around and speak to a mortgage broker in order to find the best possible mortgage product for their circumstances.

What discussions her Department has had with mortgage providers on access to finance for ex-Right to Buy properties.

HM Treasury is regularly in contact with mortgage lenders on all aspects of their mortgage business to understand their position and current lending conditions. However, the pricing of mortgages, including the availability of mortgage finance for particular properties, is a commercial decision for lenders in which the Government does not intervene. I would encourage any prospective homeowner to shop around and speak to a mortgage broker in order to find the best possible mortgage product for their circumstances.