Written questions by Maguire.

What assessment she has made of the adequacy of the Financial Conduct Authority’s regulatory framework for insurance companies’ use of loss adjusters; and whether she plans to regulate the conduct of loss adjusters.

Whilst loss adjusters acting on behalf of insurers are not directly regulated by the Financial Conduct Authority (FCA), they are typically members of professional bodies such as the Chartered Institute of Loss Adjusters (CILA). CILA sets standards for ethical conduct, technical competence, and professional integrity through its Guide to Professional Conduct. Insurers are ultimately responsible for ensuring that all aspects of their claims process meet the FCA’s regulatory standards. These include requirements to handle claims promptly and fairly, provide reasonable guidance to policyholders, and avoid unreasonable claim rejections. The FCA’s Consumer Duty also requires insurers to deliver good outcomes for customers throughout the claims journey. At present, there are no plans to introduce additional regulation specifically targeting the conduct of loss adjusters. However, the FCA continues to monitor practices across the insurance sector and has robust powers to take action against regulated firms that fail to comply with its rules.

Whether the UK Carbon Border Adjustment Mechanism will have a military use exemption.

From 1 January 2027, the UK Carbon Border Adjustment Mechanism (CBAM) will apply to specific goods imported from the aluminium, cement, fertiliser, hydrogen, and iron & steel sectors. The specific goods are listed in the Government response to the consultation on the ‘Introduction of a UK Carbon Border Adjustment Mechanism’, this is available at: Consultation on the introduction of a UK carbon border adjustment mechanism - GOV.UK The UK CBAM is designed to address the risk of carbon leakage and to ensure that CBAM goods which are imported from overseas face a comparable carbon price to what is paid by manufacturers producing the same goods in the UK. The UK CBAM does not apply to imports of military equipment. Therefore, the UK CBAM will not have a specific military use exemption.

What steps she is taking to implement the recommendations of Dame Elizabeth Gloster's report entitled Report of the Independent Investigation into the Financial Conduct Authority’s Regulation of London Capital & Finance plc, published on 23 November 2020.

Dame Elizabeth Gloster made four recommendations to the government, which were all accepted. She recommended that the government review the allocation of ISA-related responsibilities between the Financial Conduct Authority (FCA) and HMRC. As announced in the government’s response to Dame Elizabeth’s report, HMRC and the FCA established an ISA Intelligence Working Group, which led to strengthened communication and information sharing between the two organisations. HMRC has also increased the level of compliance checks that it carries out on ISA products and managers. The government is also exploring whether the penalties regime for ISA managers is sufficiently robust to deter breaches of the ISA regulations. Dame Elizabeth recommended that the Treasury should consider whether Article 4 of MiFID or section 85 of FSMA should be extended to non-transferable securities. The government has legislated via the Public Offers and Admissions to Trading Regulations 2024 to bring previously unregulated non-transferrable debt securities, including minibonds, within scope of the new UK Prospectus regime. The FCA has published its final rules, and the new regime will commence in January 2026. She recommended that the Treasury and other relevant Government bodies should work with the FCA to ensure that the legislative framework enables the FCA to intervene promptly and effectively in the marketing and sale through technology platforms, and unregulated intermediaries, of speculative illiquid securities and similar retail products. The government and the FCA have taken action to strengthen the regulatory regime for financial promotions, including for high-risk investments. In addition, under the Online Safety Act 2023, large internet platforms will be required to put in place systems and controls to avoid fraudulent advertising appearing on those platforms. Finally, Dame Elizabeth recommended that the Treasury should consider the optimal scope of the FCA’s remit, recognising the broad range of responsibilities that it has. The government remains of the view that the UK’s financial regulatory framework – where the FCA has a strategic objective to ensure that relevant markets function well – is appropriate and functioning well. The government welcomes the steps that the FCA took to address Dame Elizabeth’s recommendations, and in particular the reform programme that it implemented in order to reflect and manage its wide remit. The government engages regularly with the FCA on issues relating to its regulatory perimeter and remit. Since 2021, the Economic Secretary to the Treasury (EST) has held a regular Perimeter Meeting with the FCA CEO to discuss the FCA’s Perimeter Report. The most recent meeting was on 24 March 2025. The minutes of these meetings are published and can be found at https://www.gov.uk/government/collections/hm-treasury-and-financial-conduct-authority-regulatory-perimeter-meetings The FCA also accepted all of Dame Elizabeth’s recommendations addressed to it, and has made significant changes as a result, including undertaking a comprehensive transformation programme to improve its practices and operational efficiency. The government and the FCA continue to work together closely to ensure that financial services are well regulated, and to address risks to consumers.

Whether increases to police spending will be funded through (a) general taxation and (b) council tax.

As set out in the Spending Review 2025 document, published 11 June 2025, the Phase 2 settlement provides an average 1.7% real terms increase per year in police spending power. Over the SR period, police spending power is projected to increase by an average 2.3% per year in real terms. Police core spending power reflects a mix of central government funding and local taxation through the police precept. This 2.3% projection is therefore premised on the police being funded through increases to both. The government will set out spending plans for police forces in England and Wales, including the final precept level and core government funding, at the annual police funding settlement in the usual way.

If she will make an assessment of the potential merits of establishing a cross-sector taskforce led by the Economic Secretary to the Treasury to (a) assess the barriers people with cancer face when seeking travel insurance and (b) make recommendations on improving (i) transparency and (ii) access in the insurance market.

Treasury Ministers and officials regularly engage with a variety of stakeholders, including other departments and representatives of the insurance industry, on a range of issues. The Government recognises the important role of insurance products, including travel insurance, in building the financial resilience of consumers and protecting them when things go wrong. Insurers make commercial decisions about the terms on which they will offer cover following an assessment of the relevant risks. For example, a history of serious illness such as cancer, may increase the likelihood or severity of a claim, which in turn affects the premium an insurer decides to charge or whether they offer cover at all. However, the Government is determined that insurers should treat customers fairly and firms are required to do so under Financial Conduct Authority (FCA) rules. The FCA is the independent body responsible for regulating and supervising the financial services industry. The FCA requires firms to ensure their products offer fair value (i.e. if the price a consumer pays for a product or service is reasonable compared to the overall benefits they can expect to receive). In addition, since April 2021, the FCA has required firms offering travel insurance to signpost consumers to a directory of specialist providers if they are declined cover, offered cover with an exclusion, or charged a significantly higher premium based on their pre-existing medical conditions.

If she will make an assessment of the potential merits of introducing a right to be forgotten for people who have been out of cancer treatment for a significant period, in the context of the use of medical histories to determine (a) premiums and (b) acceptances for travel insurance.

Treasury Ministers and officials regularly engage with a variety of stakeholders, including other departments and representatives of the insurance industry, on a range of issues. The Government recognises the important role of insurance products, including travel insurance, in building the financial resilience of consumers and protecting them when things go wrong. Insurers make commercial decisions about the terms on which they will offer cover following an assessment of the relevant risks. For example, a history of serious illness such as cancer, may increase the likelihood or severity of a claim, which in turn affects the premium an insurer decides to charge or whether they offer cover at all. However, the Government is determined that insurers should treat customers fairly and firms are required to do so under Financial Conduct Authority (FCA) rules. The FCA is the independent body responsible for regulating and supervising the financial services industry. The FCA requires firms to ensure their products offer fair value (i.e. if the price a consumer pays for a product or service is reasonable compared to the overall benefits they can expect to receive). In addition, since April 2021, the FCA has required firms offering travel insurance to signpost consumers to a directory of specialist providers if they are declined cover, offered cover with an exclusion, or charged a significantly higher premium based on their pre-existing medical conditions.

What recent discussions he has had with (a) Cabinet colleagues and (b) insurance providers on helping to ensure that cancer patients are able to access affordable travel insurance.

Treasury Ministers and officials regularly engage with a variety of stakeholders, including other departments and representatives of the insurance industry, on a range of issues. The Government recognises the important role of insurance products, including travel insurance, in building the financial resilience of consumers and protecting them when things go wrong. Insurers make commercial decisions about the terms on which they will offer cover following an assessment of the relevant risks. For example, a history of serious illness such as cancer, may increase the likelihood or severity of a claim, which in turn affects the premium an insurer decides to charge or whether they offer cover at all. However, the Government is determined that insurers should treat customers fairly and firms are required to do so under Financial Conduct Authority (FCA) rules. The FCA is the independent body responsible for regulating and supervising the financial services industry. The FCA requires firms to ensure their products offer fair value (i.e. if the price a consumer pays for a product or service is reasonable compared to the overall benefits they can expect to receive). In addition, since April 2021, the FCA has required firms offering travel insurance to signpost consumers to a directory of specialist providers if they are declined cover, offered cover with an exclusion, or charged a significantly higher premium based on their pre-existing medical conditions.

Whether her Department has detected any ship-to-ship transfers in British waters that have enabled Russia to evade the price cap on exported oil since December 2022.

The Office of Financial Sanctions Implementation (OFSI) in HM Treasury is responsible for the implementation of the Oil Price Cap (OPC). Whilst I cannot comment on individual instances of evasion of the OPC due to the sensitivity of that information, British territorial waters are not typically the site of ship-to-ship transfers of this kind. The UK Government closely monitors these kinds of transfers for OPC evasion and continues to directly target shadow fleet vessels and entities that seek to undermine UK sanctions and facilitate the trade and transportation of Russian oil and oil products.In October last year, the Department for Transport operationalised a mechanism to challenge suspected shadow fleet vessels with unknown insurance to provide proof of insurance as they transit the English Channel. OFSI works closely with industry to aid compliance – as evidenced by the February 2024 updates to the OPC compliance regime and the OPC industry advisory on falsified certificates of origin, published in November 2024.

Whether her Department has made an assessment of the potential impact of lowering the Oil Price Cap on Russia’s revenue generation through seaborne oil exports.

The UK is committed to maintaining the efficacy of the price cap and to adapting it as necessary and practicable, subject to thorough impact assessments and alongside our international partners, to further our objectives of constraining Russian oil revenues. This is why the UK has publicly called on partners to tighten the Oil Price Cap as part of our wider efforts to increase economic pressure on Russia.In tandem, the UK continues to directly target shadow fleet vessels and entities that seek to undermine UK sanctions and facilitate the trade and transportation of Russian oil and oil products. Since Russia’s illegal invasion of Ukraine, the Foreign, Commonwealth and Development Office (FCDO) has sanctioned 133 vessels and 28 entities and individuals linked to Russia’s shadow fleet.

If she will make an assessment of the potential merits of introducing a requirement for maritime insurers to verify with bank statements whether the oil price for Russian exports was paid below the price cap.

The UK, alongside G7+ Oil Price Cap (OPC) Coalition partners, keeps the efficacy of the OPC under constant review, whilst working closely with industry to aid compliance and ensure that any changes to the measure are implementable – as evidenced by the February 2024 updates to the OPC compliance regime and the OPC industry advisory on falsified certificates of origin, published in November 2024.The UK is committed to continuing to adapt the OPC as necessary and practicable, alongside our international partners, to further our objectives of constraining Russian oil revenues.

What assessment her Department has made of the potential impact of trends in the cost of living on future levels of disposable household income.

The Government’s Plan for Change outlines our goals to raise living standards across the UK and ensure that working people have more money in their pockets. Specific actions already taken by the Government include increasing to the National Living Wage from April 2025; extending the Household Support Fund and Discretionary Housing Payments in England and Wales in 2025-26; and introduction of a new Fair Repayment Rate from April 2025 to cap debt repayments made through Universal Credit. In the OBR’s October 2024 forecast, living standards, as measured by Real Household Disposable Income per capita, were forecast to rise by an annual average of 0.5% over the course of this parliament (Q2 2024 – Q2 2029).

What assessment her Department has made of the impact of fee-less community bank accounts being closed and replaced with fee-paying business accounts on (a) allotment societies and (b) other small voluntary organisations.

The provision of banking services is a commercial decision taken by the banking sector. In response to feedback from community account holders about difficulties in securing and maintaining suitable current accounts, UK Finance launched a website in July 2024, including guidance and an Account Finder tool, to help voluntary sector organisations locate an appropriate account for their needs. UK Finance also signpost where free banking services can be accessed. In developing these resources, UK Finance worked with charitable organisations, members, and regulators, with the aim of improving how community accounts are opened and run.

Whether her Department has made an assessment of the potential (a) social and (b) economic impact of increasing investment in preventative upstream services such as youth work.

The Prime Minister has set out the Plan for Change for this government, with early intervention at the centre of the government's priorities, including giving children the best start in life, putting police back on the beat, and ending hospital backlogs. The Chancellor also set out that prevention would be a key theme of the Spending Review. HMT will work with departments to develop proposals on prevention, including their social and economic impact, through phase 2 of the Spending Review.