Every parliamentary written question tabled by Gareth Thomas this session, with the full answer and department. Back to the MP page.
Showing 1–20 of 59 · Treasury
Whether they will require their department and agencies to offer payroll deductions to all employees to enable them to join a credit union.
There are currently no plans to introduce a requirement for HM Treasury and its agencies to offer payroll deductions to enable staff to join a credit union.
If she will make it her policy for HMRC to offer payroll deduction to its employees to enable them to join a credit union.
HMRC’s financial wellbeing offer for its workforce, aligned to the Civil Service Financial Strategy, includes access to a variety of advances including rental deposits and season ticket loans, as well as debt/budgeting advice and support through its Employee Assistance Programme. HMRC has no current plans to introduce payroll deduction arrangements, to enable its employees to join a Credit Union. It does not hold the role of policy lead for payroll deduction schemes across government, and decisions on the merits of payroll deduction arrangements would be a matter for the relevant departments.
If she will ask the Chief Executive of HMRC to meet with the Permanent Secretary of the Department for Work and Pensions and the Permanent Secretary of the Ministry of Defence to discuss the potential merits of payroll deduction for credit union schemes.
HMRC’s financial wellbeing offer for its workforce, aligned to the Civil Service Financial Strategy, includes access to a variety of advances including rental deposits and season ticket loans, as well as debt/budgeting advice and support through its Employee Assistance Programme. HMRC has no current plans to introduce payroll deduction arrangements, to enable its employees to join a Credit Union. It does not hold the role of policy lead for payroll deduction schemes across government, and decisions on the merits of payroll deduction arrangements would be a matter for the relevant departments.
Whether she will hold discussions with the Secretaries of State for Housing, Communities and Local Government, and Business and Trade on the conclusions of the Independent Commission on Neighbourhoods on how to achieve private sector growth in mission critical neighbourhoods.
We acknowledge the work of the Independent Commission on Neighbourhoods and its recommendations for how to invest in deprived communities. The Pride in Place Programme, announced in September, demonstrates this Government’s firm commitment to backing neighbourhoods that have for too long been left behind and overlooked. This flagship programme will deliver up to £5bn funding and support to 244 of the most deprived places across Britain over the next decade, and the accompanying Pride in Place Strategy set out a broader plan for giving communities across the country the tools and powers they need to drive change in their neighbourhood. We will carefully consider the Commission’s findings, engaging with relevant departments and stakeholders as appropriate to understand how we can further deliver for neighbourhoods across the country.
What recent discussions she has had with National Savings and Investments on the provision of Help to Save services by credit unions.
The Chancellor of the Exchequer has not undertaken any recent engagement with National Savings and Investments on this issue. HMRC Officials are continuing to take forward work on Help to Save reform, including engagement with a range of financial institutions, such as credit unions. This engagement is focused on exploring options for the future delivery approach of the scheme.
Whether she plans to devolve powers to the Mayor of London to adjust taxation rates in London.
While the Government keeps the tax system under review, the Government has no plans to extend the Mayor’s powers to adjust tax rates in London.However, the Government is empowering Mayors to introduce a visitor levy on short-term overnight accommodation in their region, to drive economic growth including through support for the local visitor economy. The Government has published a consultation, running until 18 February, so that the public, businesses, and local government can shape the design of the power to introduce a levy that will be devolved to local leaders. Local leaders will decide whether to introduce a levy and how the revenue raised will be used to drive growth in their region.
What further steps will she take to help tackle illegal money lenders.
The Government funds specialist Illegal Money Lending Teams (IMLTs) operating across the UK to tackle the crimes of illegal money lenders. These teams investigate and prosecute illegal lenders while providing crucial support to victims. To learn more about the work of the IMLTs, visit the Stop Loan Sharks website: https://www.stoploansharks.co.uk/.
What discussions her Department has had with (a) Monzo, (b) Metro Bank, (c) Revolut and (d) Marks and Spencer bank about their use of the cash handling services provided by the Post Office.
The Government recognises the importance of access to cash and banking services for individuals and businesses, including those who may be in vulnerable groups or require assistance and is supportive of industry initiatives that improve access to these vital services.Treasury Ministers have meetings with a wide variety of organisations in the public and private sectors as part of the process of policy development and delivery. Details of ministerial meetings with external organisations on departmental business are published on a quarterly basis and are available at the link below.https://www.gov.uk/government/collections/hmt-ministers-meetings-hospitality-gifts-and-overseas-travelThe Post Office plays a key role in supporting access to banking services. Under the Banking Framework, a commercial agreement between the Post Office and 30 banking firms , personal and business customers can withdraw and deposit cash, check their balance, pay bills and cash cheques at 11,500 Post Office branches across the UK. The specific services provided under the Framework are subject to commercial negotiations between individual banks and the Post Office, and the Government has no role in deciding what these arrangements are. On 21 January, the Government held joint discussions between the Post Office and the banking sector to explore where continued collaboration, on a commercial and voluntary basis, would allow all parties to better meet the needs of individuals and businesses.
How many businesses have applications pending for banking licences.
The Treasury does not hold this information. This is a matter for the Financial Conduct Authority (FCA) and Prudential Regulation Authority (PRA), which are operationally independent from government and responsible for authorising firms seeking to offer banking services. These organisations will each respond to the Honourable Member by letter, and a copy of the letters will be placed in the Library of the House of Commons.
How many prosecutions have there been for illegal lending in each of the last five years.
Illegal money lenders, commonly known as loan sharks, are dangerous criminals who inflict serious harm on their victims. The Government funds specialist Illegal Money Lending Teams (IMLTs) operating across the UK to tackle their crimes. These teams investigate and prosecute illegal lenders while providing crucial support to victims. Details of the teams’ work and case studies are available at the Stop Loan Sharks website: https://www.stoploansharks.co.uk/.
If she will visit a community development finance institution within the next six months.
Community development finance institutions (CDFIs) play an important role in supporting access to credit. My predecessor was pleased to chair a roundtable in July 2025 attended by banks and CDFIs, to discuss the barriers to achieving greater growth for CDFIs providing personal lending products. I am looking forward to a similarly productive discussion when I meet the Chief Executive of Responsible Finance later this Spring.
If she will ask the Financial Conduct Authority to assess whether the mission critical neighbourhoods, as identified by the Independent Commission on Neighbourhoods, have an effective credit union or a community development finance institution providing access to affordable credit for local residents and businesses.
The Government recognises that credit, when provided responsibly, can be crucial for people facing unexpected expenses or managing their cash flow. The UK has a diverse landscape for credit provision to individuals and businesses, comprising traditional banks, challenger and specialist banks, and non-bank finance providers such as Community Development Finance Institutions (CDFIs). In November, I published the Government’s Financial Inclusion Strategy, which includes a focus on how to improve access to affordable credit.The Strategy includes a pilot scheme for small sum lending and measures to strengthen the community finance sector, including encouraging partnerships with mainstream financial firms. The Government will continue to work closely with stakeholders to deliver on the interventions.
Whether she will discuss access to finance for businesses based in areas of deprivation with the Chair of the Independent Commission on Neighbourhoods.
HMT has engaged the Independent Commission on Neighbourhoods and the Department continues to work with the Commission, including engaging with their recent report. I would welcome a discussion with the Chair on access to finance, should she think it helpful.
If she will introduce legislation to allow cooperatives to issue capital instruments to raise finance which don’t lead to demutualisation.
The government is keen to ensure that the law governing co-operatives and community benefit societies supports their growth. That is why we are funding the Law Commission’s independent review of the Co-operative and Community Benefit Societies Act 2014. The Law Commission’s independent review is considering ways to update and modernise the legislation for co-operatives and community benefit societies, ensuring that it fits the nature and needs of these societies as well as ensuring that regulation is proportionate and effective. The Law Commission is considering methods of raising capital, including society shares, as part of its review. The Law Commission will publish its final recommendations in 2026. Once this is published, the government will carefully consider the Law Commission’s recommendations to understand whether reform of the legislation is needed to ensure these businesses are supported to grow and succeed into the future.
Whether she will discuss support for new mutual banks with Ministerial colleagues in the Department for Business and Trade.
The government is committed to supporting the growth of mutual financial services in line with the manifesto commitment to double the size of the mutual and co-operative sector. HM Treasury works closely with departments across government, including the Department for Business and Trade, to deliver this commitment. We also engage regularly with the mutuals sector to understand the challenges they face and explore opportunities to help the sector grow.
What steps she is taking to increase levels of household savings.
Everyone should have access to affordable and appropriate products for their financial wellbeing. The government is committed to breaking down barriers to opportunity and ensuring individuals and households have greater financial security.This is why the government offers several ways to help people save and increase their financial resilience. The overall ISA allowance of £20,000 ensures that savers can put significant sums away in a tax-free savings account. For those who save outside of an ISA, the Personal Savings Allowance provides up to £1,000 of tax-free savings interest for basic rate taxpayers, and £500 for higher rate taxpayers.The Help to Save scheme supports financial resilience for working people on low incomes by encouraging consistent, long-term saving and helping them build a financial buffer to plan and prepare for the future. The scheme is currently available to working individuals in receipt of Universal Credit, ensuring it remains targeted at its intended population.As announced at Autumn Budget 2025, the government will make the Help to Save scheme permanent and, from April 2028, will expand eligibility to include all Universal Credit claimants who receive the child element, the caring element or both.
What steps she is taking to improve access to affordable credit.
The Government recognises that affordable and responsible credit can help households manage unexpected costs and cash flow.In November, we published the Financial Inclusion Strategy, developed with consumer groups and industry. The Strategy includes a pilot scheme for small sum lending and measures to strengthen the community finance sector, including encouraging partnerships with mainstream financial firms.We will continue to work closely with stakeholders to implement the Strategy and improve access to affordable credit.
What further steps she will take to make the cost of business loans more transparent.
The Government receives representations from a range of stakeholders about matters across financial services and the economy. Disputes are a matter for the Financial Ombudsman Service rather than the Government. I would refer my honourable friend to the answers I provided on the topic of SME lending on 24 November, 26 November and 27 November, including in relation to the rates for short-term lending to small and medium sized businesses in the UK. As set out in my previous response, interest rates, including those offered by individual providers, are a commercial matter decided by the lender concerned, reflecting the base rate, the risk of the applicant, and a margin to make the loan commercially viable given the cost of underwriting and broader funding costs. The Government does not intervene in commercial offerings, and SMEs should shop around to find the product that best suits their needs when choosing finance, which in turn helps drive competition, improves choice, and may support pricing.
What estimate she has made of the number of of small business finance applications rejected by (a) high street banks and (b) all banks in (i) total and (ii) just for non asset backed lending applications in the most recent year for which figures are available.
The Government, and specifically the Treasury, is responsible for the legislative framework for financial services, and does not collect significant volumes of market data. External bodies including the British Business Bank, Bank of England, UK Finance, and other such parties, produce certain information on the SME lending market, some of which may offer insights of this nature. However, HM Treasury publishes statistics on the use of the Government’s Bank Referral Scheme on an annual basis, which is a Scheme designed to help match loan applicants rejected for finance with potential alternatives. The latest release covers statistics up until Q3 2024 and can be found on the Government’s website. This data represents businesses that have been rejected by designated banks under the Scheme and can be used to understand some of the rejection rate trends in the market.
Whether she has received representations on the cost of lending required by (a) Maxcap business loans, (b) Capify business loans and (c) Funding Circle’s Flexipay product.
The Government receives representations from a range of stakeholders about matters across financial services and the economy. Disputes are a matter for the Financial Ombudsman Service rather than the Government. I would refer my honourable friend to the answers I provided on the topic of SME lending on 24 November, 26 November and 27 November, including in relation to the rates for short-term lending to small and medium sized businesses in the UK. As set out in my previous response, interest rates, including those offered by individual providers, are a commercial matter decided by the lender concerned, reflecting the base rate, the risk of the applicant, and a margin to make the loan commercially viable given the cost of underwriting and broader funding costs. The Government does not intervene in commercial offerings, and SMEs should shop around to find the product that best suits their needs when choosing finance, which in turn helps drive competition, improves choice, and may support pricing.