Written questions by Platt.

What assessment she has made of the potential impact of reducing VAT on the repair, maintenance and retrofit of existing buildings on (a) the viability of bringing older high-street and town-centre buildings back into use, (b) the reduction of embodied carbon in the construction sector and (c) the preservation of heritage of long-standing community assets.

VAT is a broad-based tax on consumption, and the 20 per cent standard rate applies to most goods and services, this includes most construction work. Exceptions to the standard rate have always been limited and balanced against affordability considerations. The Government keeps all taxes under review and makes decisions at fiscal events in the context of the overall public finances.

What assessment her Department has made of the potential merits of disapplying VAT for the conversion of non-residential buildings into accommodation.

To support the delivery of new homes, conversions of buildings from a commercial to a residential use are subject to a reduced rate of VAT at 5%. The reduced 5% rate also applies to conversions of buildings from one residential use to another and to renovations of residential buildings that have been empty for at least two years. Further information on VAT on building works can be found here: https://www.gov.uk/guidance/buildings-and-construction-vat-notice-708

Whether she will consider extending the proposed alignment of the personal allowance for pensioners with the new State Pension rate.

As announced at the Budget, the government will ease the administrative burden for pensioners whose sole income is the basic or new State Pension without any increments so that they do not have to pay small amounts of tax via Simple Assessment from 2027-28.

What estimate she has made of the number of retail businesses that will be affected by the (a) business rates reduction for Retail, Hospitality and Leisure properties and (b) higher business rates multiplier in Leigh and Atherton constituency.

The Government is creating a fairer business rates system that protects the high street, supports investment, and is fit for the 21st century.As set out at Autumn Budget 2024, the Government will introduce permanently lower tax rates for retail, hospitality, and leisure properties with rateable values (RVs) below £500,000 from 2026/27. This permanent tax cut will ensure they benefit from much-needed certainty and support. The Government is sustainably funding this by introducing a higher tax rate on properties with RVs of £500,000 and above. The final design, including the rates, for the new business rates multipliers will be announced at Budget 2025, so that the Government can factor the revaluation outcomes and broader economic and fiscal context into decision-making. When the new multipliers are set, HM Treasury intends to publish analysis of the effects of the new multiplier arrangements.

What assessment she has made of the potential impact of business rates valuation methods on grassroots music venues.

I refer the honorable Member to the response to UIN 22711.

What assessment she has made of the potential impact of her plans for business rates reform on grassroots music venues.

As set out at Autumn Budget 2024, the Government will introduce permanently lower tax rates for retail, hospitality, and leisure (RHL) properties with rateable values (RVs) below £500,000, including grassroots music venues, from 2026-27. This permanent tax cut will ensure they benefit from much-needed certainty and support. The Government intends to sustainably fund this by introducing a higher multiplier on all properties with RVs of £500,000 and above.When the new multipliers are set, HM Treasury intends to publish analysis of the effects of the new multiplier arrangements. In the interim period, for 2025-26, we have prevented the current RHL relief from ending in April 2025, extending it for one year at 40% up to a cash cap of £110,000 per business.The Transforming Business Rates: Interim Report, published on 11 September, brings together extensive feedback from a broad range of stakeholders and outlines the Government’s next steps to deliver a fairer business rates system that supports investment and is fit for the 21st century. The Government will provide a further update at the Budget. Transforming the business rates system is a multi-year process. The Government will consider reforms beyond Budget 2025, and any reforms taken forward will be phased over the course of the Parliament.

If she will make an assessment of the potential merits of reforming the application of VAT to the hair and beauty sector, in the context of levels of competition with other self-employed businesses in (a) Leigh and Atherton constituency and (b) elsewhere.

VAT is a broad-based tax on consumption, and the 20 per cent standard rate applies to most goods and services. VAT is the UK’s third largest tax, forecast to raise £180 billion in 2025/26. The Government recognises the important social and economic role of the hair and beauty sector, which not only contributes to people’s well-being, but also plays a vital role in supporting local economies across the country.

What information her Department holds on the level of profits earned by social fundraising platforms from charging commission on Gift Aid in the last 12 months.

The Government recognises the vital role played by the charity sector and the generosity of the British public. That is why we support charitable giving with over £1.6billion in Gift Aid each year.Charities have the flexibility to decide on their own strategy for fundraising and are free to partner with other organisations to process their Gift Aid claims. It will ultimately be a commercial decision on the part of a charity to work with a fundraising platform and whether it is appropriate to pay a fee for any services provided.The Government does not provide financial support or subsidies to social fundraising platformsOrganisations that process Gift Aid and charge commission must report their annual income to HMRC. However, HMRC do not specifically request them to separately report how much income is earned from commission. Therefore, HMRC does not hold the information you have requested.

What steps her Department is taking to tackle tax evasion in vape shops.

The Government recognises that sometimes businesses do not declare all of their income and thereby conceal their true earnings. We are committed to creating a level playing field for all, by ensuring that everyone pays the right amount of tax at the right time, to ensure trust and fairness in the tax system. Most taxpayers pay what they owe, but a small minority fail to register with HMRC or only declare a portion of their earnings. This small minority deprive our vital public services of funding, affect fair competition between businesses, and place unfair burdens on everyone else. It is vital these revenues are collected to fund our essential public services. Closing the tax gap and making sure that more of the tax that is owed is correctly paid, is one of the Government’s top priorities for HMRC. HMRC is making it increasingly difficult for businesses to hide their earnings and have an extensive range of powers, including information gathering powers, that help build a picture of risk and identify those who are trying to abuse the system. HMRC’s approach to tax evasion aims to tackle current non-compliance and change future behaviours. These range from producing learning packages on tax obligations for schools, through to national campaigns and specialist task forces which incorporate intensive bursts of compliance activity in specific trade sectors and locations across the UK. HMRC undertakes a range of compliance activity, across every sector of the economy, to ensure that our customers are paying the correct amount of tax.