Written questions by Lewis.

How many individuals have settled their loan charge liability (a) in full or (b) through a Time to Pay arrangement since the publication of the Ray McCann review on 26 November 2025 until the most recent date for which data are available.

HMRC have now written to all taxpayers that they have identified as being eligible for the settlement opportunity, to explain how they are affected by the outcome of the review. Taxpayers who register an interest in settling under the new opportunity now will also be prioritised for contact and receive a settlement offer sooner once the settlement scheme has been introduced.

With reference to the Exchequer Secretary to the Treasury's oral contribution of 1 July 2025, Official Report, column 137, for what reason her Department did not inform (a) Rt hon. and hon. Members and (b) those (i) contractors, (ii) freelance workers and (iii) small company directors who were (A) mis-sold disguised remuneration schemes and (B) subject to the Loan Charge of HMRC's Loan Charge settlement with multinational companies.

The Government commissioned an independent review of the Loan Charge to help bring the matter to a close for those affected whilst ensuring fairness for all taxpayers. The Government will respond by Autumn Budget 2025. During Oral Questions on 1 July 2025, Greg Smith MP referred to comments made by an external stakeholder that were shared under the Freedom of Information Act 2000. HMRC Officials do not recognise the allegation that HMRC agreed deals with large employers allowing them to settle disguised remuneration liabilities for less than was legally due. HMRC applies the law fairly and consistently in accordance with its published Litigation and Settlement Strategy (LSS). This ensures every taxpayer, no matter who they are, pays the tax due under the law. Central to the LSS is that HMRC will not settle a dispute by agreement for an amount which is less than it would reasonably expect to obtain from litigation. HMRC’s Litigation and Settlement strategy can be found on gov.uk: www.gov.uk/government/publications/litigation-and-settlement-strategy-lss

Whether she made an assessment of the potential merits of including within the terms of reference for the Independent Review of the Loan Charge consideration of the (a) mis-selling by scheme promoters, (b) advice on legality given by accountants, (c) impact of retrospective pursuit on mental health and welfare and (d) measures for protection against recurrence in future; and if she will take steps to revise the terms of reference to include those matters.

On 23 January, the Government launched the Independent Review of the Loan Charge, honouring a commitment made at the Budget. The objectives of the review are to help bring the matter to a close for those affected; ensure fairness for all taxpayers; and ensure that appropriate support is in place for those subject to the Loan Charge. The terms of reference for the review have been published here: www.gov.uk/government/publications/independent-review-of-the-loan-charge. As I set out in my letter to the reviewer, we want the review to bring the Loan Charge to a close for those people who still owe substantial amounts of money but can see no way to resolve their debts. It is now for the reviewer to conduct his review and make recommendations to the Government. The Government is also taking action to prevent disguised remuneration in the future. At the Budget, the Government announced the most ambitious ever package to close the tax gap, raising £6.5 billion of additional tax revenue in 2029-30. The package includes measures to tackle promoters of tax avoidance schemes and to address non-compliance in umbrella companies, where most disguised remuneration now takes place.

If she will make an assessment of the potential impact of changes made to employer's National Insurance contributions at the Autumn Budget 2024 on the (a) staffing levels of and (b) level of (i) economic and (ii) social contributions to charities; and if she will make it her policy to exempt the charitable sector from these changes.

In order to repair the public finances and help raise the revenue required to support public services, the government has taken the difficult decision to increase employer National Insurance contributions (NICs).HMRC published on 13 November a Tax Information and Impact Note that covers the impact of the changes on charities as employers.The Government has protected the smallest businesses and charities from the impact of the increase to employer National Insurance by increasing the Employment Allowance from £5,000 to £10,500, which means that 865,000 employers will pay no NICs at all next year, more than half of employers will see no change or will gain overall from this package, and all eligible employers will be able to employ up to four full-time workers on the National Living Wage and pay no NICs. All charities are eligible for the Employment Allowance, even if they are wholly or mainly carrying out functions of a public nature.More broadly, within the tax system, we provide support to charities through a range of reliefs and exemptions, including reliefs for charitable giving, with more than £6 billion in charitable reliefs provided to charities, CASCs and their donors in 2023-24.

What recent representations she has received (a) directly and (b) via other Departments from the Special Educational Needs and Disability Transport Operators Group on the potential inclusion of (i) drivers and (ii) passenger assistants in any (A) grant and (B) compensation scheme to offset the impact of changes in employer national insurance contributions; and if she will include this cohort in any such scheme.

The government will provide support for departments and other public sector employers for additional employer National Insurance contributions (NICs) costs only. This funding will be allocated to departments, with the Barnett formula applying in the usual way. This is the usual approach the Government takes to supporting the public sector with additional employer NICs costs, as was the case with the previous Government’s Health and Social Care Levy. This does not include support for the private sector, including private sector firms contracted by central/local government. For private sector organisations that contract with local or central government, the impact of tax changes would be taken into account along with all other changes to their cost base in the usual way through contract negotiations. The definition of who is in scope as a public sector employee is based on Office of National Statistics classification of the entity paying employer NICs. This applies to employees who are directly employed by the public sector, but not, for example, where services are contracted out. The public sector comprises central government, local government and public corporations.

What recent assessment she has made of the potential impact of increasing National Insurance contributions at the Autumn Budget 2024 on the ability of (a) Citizens Advice services and (b) other community-centred charities to maintain their (i) staffing levels and (ii) contribution to society.

In order to repair the public finances and help raise the revenue required to increase funding for public services, the Government has taken the difficult decision to increase employer National Insurance. HMRC recently published on 13 November a Tax Information and Impact Note that covers the impact of employer NICs changes. The Government has protected the smallest businesses and charities from the impact of the increase to Employer National Insurance by increasing the Employment Allowance from £5,000 to £10,500, which means that 865,000 employers will pay no NICs at all next year, more than half of employers will see no change or will gain overall from this package, and all eligible employers will be able to employ up to four full-time workers on the National Living Wage and pay no employer NICs More broadly, within the tax system, we provide support to charities through a range of reliefs and exemptions, including reliefs for charitable giving, with more than £6 billion in charitable reliefs provided to charities, CASCs and their donors in 2023 to 2024.

For what reason the Fire and Rescue Service is not receiving the exemption from the rise in National Insurance contributions as the other Emergency Services.

To repair the public finances and help raise the revenue required to fund public services, the Government has taken the difficult decision to increase employer National Insurance. The Government will provide support for public sector employers, including fire and rescue authorities, for the additional costs of Employer National Insurance Contributions. This is in line with the approach taken under the previous government’s Health and Social Care Levy. Further details will be set out in due course.