Written questions by McVey.

What estimate her Department has made of the increased cost to businesses as a result of the expansion of the Soft Drinks Industry Levy (SDIL), including directly through paying the increased SDIL and indirectly through the demand of product reformulation.

The changes to SDIL announced at Budget 2025 were confirmed following extensive industry engagement through the ‘Strengthening the Soft Drinks Industry Levy’ consultation, which was open from 28 April to 21 July 2025. Representations from businesses, and the trade bodies representing them, were received and considered as part of this process. On 25 November 2025, the government published its summary of responses to the consultation. An assessment of impacts – including economic impacts for businesses – of the announced policy changes can be found within the Summary of Responses document here: https://www.gov.uk/government/consultations/strengthening-the-soft-drinks-industry-levy/outcome/strengthening-the-soft-drinks-industry-levy-summary-of-responses#assessment-of-impacts

Pursuant to the Answer of 19 December 2025 to Question 98773 on VAT: Repayments, how many of the (a) VAT repayment returns, (b) complaints received relating to VAT repayments and (c) complaints received directly relating to VAT refund delays were under the value of £1,000.

Between 1 June to 30 November 2025, HMRC processed around 600,000 VAT repayment returns that were under £1,000 in value. HMRC are unable to confirm how many of the 162 and 119 complaints referenced in PQ answer 98773 relate to VAT refunds which are under the value of £1,000, as establishing this would exceed the cost threshold for answering parliamentary questions.

How many VAT refunds to businesses in the last six months a) have not been refunded and b) have been delayed.

Between 1 June to 30 November 2025, HMRC processed around 1.4 million VAT repayment returns, with around 93% paid promptly following initial risking.Based on the information held on HMRC’s complaints database, between 1 June to 30 November 2025, HMRC received 162 complaints relating to VAT repayments of which 119 were directly linked to VAT refund delays.

How many complaints HMRC have received in the last 6 months about VAT refunds to businesses because the refund was a) not received and b) delayed.

Between 1 June to 30 November 2025, HMRC processed around 1.4 million VAT repayment returns, with around 93% paid promptly following initial risking.Based on the information held on HMRC’s complaints database, between 1 June to 30 November 2025, HMRC received 162 complaints relating to VAT repayments of which 119 were directly linked to VAT refund delays.

Whether she has made an assessment of the potential impact of continued fuel duty freezes on (a0 supporting economic growth and (b) supply chain stability in the North West.

At Budget 2025, the Government announced continued support for people and businesses by extending the temporary 5p fuel duty cut until the end of August 2026. Rates will then gradually return to previous levels. The planned increase in line with inflation for 2026-27 will not take place, with the government uprating fuel duty rates by RPI from April 2027. This will save the average car driver £49 next year compared to previous plans. The Government considers the impact of fuel duty on the economy, including households and businesses, with decisions on rates made at fiscal events.

If she will take steps to ensure that HMRC does not impose (a) penalties and (b) interest on (i) people and (ii) businesses who make inadvertent errors on their tax returns.

Financial penalties encourage taxpayers to comply with their obligations and act as a sanction for those who fail to comply. HMRC recognises that people may make inadvertent errors and does not charge a penalty provided the customer has not failed to take reasonable care in completing their return. If a penalty for an inaccuracy is charged by HMRC, a person can also appeal against our decision to impose a penalty. Interest is only applied to any outstanding liability. If a corrected error shows no outstanding amount, no interest will be charged.

What assessment she has made of the potential impact of her Department's proposals for a Remote Betting & Gaming Duty on (a) levels of investment in the UK, (b) consumer costs and (c) levels of illegal gambling.

The Government is consulting on proposals to simplify the current gambling tax system by merging the three current taxes that cover remote (including online) gambling into one. The Government welcomes views from stakeholders, as part of the consultation process. No final policy decisions have been made. If any changes are made to gambling duties at a future Budget following the consultation, they will be accompanied by a Tax Information and Impact Note which will set out the expected impacts, including to individuals, businesses and the wider economy. DCMS works closely with the Gambling Commission to ensure that illegal gambling, in all its forms, is addressed. The Crime and Policing Bill, introduced in Parliament on 25 February 2025, will grant the Gambling Commission with powers to move quickly and effectively to take down illegal gambling websites.

How many staff network events took place in her Department in May 2025; and what the names of those events were.

3 events were held by the Treasury’s staff networks in May 2025.Treasury History Network held 2 sessions of “Wars, fires and pandemics: how events shaped our buildings”.The Ethnic Diversity Network hosted “Inclusivity within national security and demystifying the DV process”.

Whether her Department has updated guidance on the use of single-sex facilities in response to the Supreme Court judgement in the case of For Women Scotland v The Scottish Ministers of 16 April 2025.

HM Treasury is working with Government People Group in the Cabinet Office to understand the revised model policies and will implement required changes accordingly.

What modelling her Department has carried out on the potential merits of a clawback mechanism for proposed changes to (a) agricultural property relief and (b) business property relief.

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. A “clawback” would mean inheritance tax would only be due if the relevant assets are sold within a specified time period after a death. Introducing this mechanism, as some have suggested, could mean some of the wealthiest estates pay less inheritance tax compared to the proposed reforms. The Government disagrees with suggestions that a clawback would raise the same revenue as the reforms being introduced from 6 April 2026; it would raise much less, which would mean raising taxes elsewhere or lowering public spending. It would also add complexity to the tax system and continue to attract the very wealthiest to tax plan since beneficiaries could hold onto the assets over the specified clawback period just to escape the tax. In accordance with standard practice, the Government does not publish internal modelling of alternative tax proposals that are not Government policy.

With reference to the Answer of 4 March 2025 to Question 32918 on Agriculture and Business: Inheritance Tax, if she will publish the full modelling her Department has carried out on that issue.

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. A “clawback” would mean inheritance tax would only be due if the relevant assets are sold within a specified time period after a death. Introducing this mechanism, as some have suggested, could mean some of the wealthiest estates pay less inheritance tax compared to the proposed reforms. The Government disagrees with suggestions that a clawback would raise the same revenue as the reforms being introduced from 6 April 2026; it would raise much less, which would mean raising taxes elsewhere or lowering public spending. It would also add complexity to the tax system and continue to attract the very wealthiest to tax plan since beneficiaries could hold onto the assets over the specified clawback period just to escape the tax. In accordance with standard practice, the Government does not publish internal modelling of alternative tax proposals that are not Government policy.

How many procurement contracts awarded by her Department since 5 July 2024 have been awarded without competitive tendering.

No contracts covered by the Public Contracts Regulations have been awarded by HM Treasury since 5 July 2024 without competitive tendering.

How many public contracts awarded by her Department since 5 July 2024 have been awarded to companies with offshore tax arrangements.

The information requested is not readily available and to provide it would incur disproportionate cost. Where it makes business sense to do so, HM Treasury procures goods and services via Crown Commercial Service (CCS) framework agreements. Suppliers on those agreements must comply with the requirements of Procurement Policy Note 03/2014.

How many procurement contracts awarded by her Department since 5 July 2024 have been terminated due to non-performance.

No contracts awarded by HM Treasury since 5 July 2024 have been terminated for that reason.

If she will make an assessment of the (a) effectiveness of the processes put in place by HMRC to register private schools for VAT and (b) adequacy of the time taken for those schools to receive a VAT number.

The government is committed to supporting private schools to ensure that the VAT registration process is as smooth as possible for them, and to ensuring they have the necessary support in order to be able to correctly charge VAT and remit it to HMRC. HMRC has put in place additional resource to process VAT registrations and, on 10 October, published bespoke guidance for schools, which can be found on GOV.UK. HMRC published initial guidance ahead of the Budget to maximise the amount of time schools had to prepare for this policy taking effect. Currently more than 80% of VAT registration applications are being processed within 20 working days, exceeding HMRC’s published service standard of 80% within 40 working days HMRC has also hosted online webinars to answer any queries that schools may have and can be contacted via a dedicated mailbox in the event of any technical queries about registering.

How many and what proportion of private schools have been provided with a VAT number.

HMRC publishes data on the VAT population by sector on an annual basis. The latest statistics can be found here: Value Added Tax (VAT) annual statistics - GOV.UK The point at which private schools need to register for VAT depends on their individual circumstances and fee schedules. A significant number were registered for VAT before the announcement that, from 1 January 2025, all education and boarding services provided by a private school or connected person will be subject to VAT at the standard rate of 20%. HMRC is also supporting schools through the registration process via webinars, its helpline and a dedicated technical query mailbox which can be used by schools, their representative bodies and tax advisors.

How many and what proportion of private schools have been provided with a VAT number.

HMRC publishes data on the VAT population by sector on an annual basis. The latest statistics can be found here: Value Added Tax (VAT) annual statistics - GOV.UK The point at which private schools need to register for VAT depends on their individual circumstances and fee schedules. A significant number were registered for VAT before the announcement that, from 1 January 2025, all education and boarding services provided by a private school or connected person will be subject to VAT at the standard rate of 20%. HMRC is also supporting schools through the registration process via webinars, its helpline and a dedicated technical query mailbox which can be used by schools, their representative bodies and tax advisors.

What businesses have made representations to her about the Autumn Budget 2024.

Ahead of the Autumn Budget, the Treasury received 633 written representations from stakeholders. Ministers and officials also met with a broad range of businesses and representative bodies. This includes meetings that the Chancellor and Financial Secretary had with Heads of the Federation of Small Businesses, Confederation of British Industry, Institute of Directors, British Chambers of Commerce and Make UK.