Written questions by Foy.

What progress her Department has made on reform of the credit union common bond.

The government is a strong supporter of the mutual sector, including credit unions, and is working to support its growth in line with the manifesto commitment to double the size of the sector.On 18 March, the government announced plans to reform the credit union common bond in Great Britain by:Increasing the potential membership cap on the locality bond from 3 million to 10 million, which will significantly expand the potential size of locality-based credit unions, which make up 79% of the sector, and reduce uncertainty around merger activity.Allowing credit unions to admit students to locality-based credit unions, if not otherwise eligible through residence or work.Expanding eligibility for members' relatives to allow credit unions to admit relatives of qualifying members regardless of whether they share a household.Allowing credit unions to retain retired members as fully qualifying members.These reforms will help more people get access to fair loans and a safe place to save, so families have a real alternative to high-cost credit.Full details of the government’s plans have been published in a call for evidence response available on GOV.UK.The government will legislate to give effect to these reforms as soon as parliamentary time allows.

What steps she is taking to ensure the business rates system supports the regeneration of high streets.

The Government has already started the work of reforming our business rates system by introducing new permanently lower multipliers for eligible retail, hospitality and leisure (RHL) properties. These new multipliers will benefit over 750,000 properties.The Government is paying for this through higher rates on the top one per cent of most expensive properties. This includes many large distribution warehouses, such as those used by online giants. The high value multiplier is 33% more than the multiplier for small RHL properties. The new RHL multipliers replace the temporary RHL relief that has been winding down since the pandemic. Unlike RHL relief, the new rates are permanent, giving businesses certainty and stability, and there will be no cap, meaning all qualifying properties on high streets across England will benefit.

If she will make an assessment of the potential merits of introducing a windfall tax on the profits of (a) banks and (b) other financial institutions.

The government’s position on the taxation of the banking sector remains as set out in the Corporate Tax Roadmap. The regime is kept under review to ensure that objectives around growth and fiscal responsibility are appropriately balanced.

What estimate she has made of the number of retail businesses impacted by (a) the business rates reduction for Retail, Hospitality and Leisure properties and (b) the higher business rates multiplier in the City of Durham.

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 (RHL) properties with ratable values (RVs) below £500,000 from 2026-27. This permanent tax cut will ensure they benefit from much-needed certainty and support. This tax cut must be sustainably funded, and so the Government will introduce a higher rate on the most valuable properties in 2026/27 - those with RVs of £500,000 and above. These represent less than one per cent of all properties, but cover the majority of large distribution warehouses, including those used by online giants. 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 discussions she has had with the Retail, Hospitality and Leisure industries on the level of business rates relief which would help to drive (a) investment and (b) local employment.

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 (RHL) properties with ratable values (RVs) below £500,000 from 2026-27. This permanent tax cut will ensure they benefit from much-needed certainty and support. The rates for new multipliers will be set at Budget 2025 so that the Government can take into account the revaluation outcomes as well, as the economic and fiscal context. The Government has engaged with a broad range of stakeholders on business rates. The Transforming Business Rates: Interim Report, published on 11 September, brings together extensive feedback from 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: https://www.gov.uk/government/publications/transforming-business-rates-interim-report/transforming-business-rates-interim-report.

If she will take steps with the Financial Conduct Authority to help ensure that (a) Gypsies and (b) Travellers are able to access homes and contents insurance.

As set out in the answer to question 75505 on 11 September 2025, the Government is determined that insurers should treat customers fairly, and insurers must comply with all relevant regulations and legislation. This includes the Equality Act 2010 which generally prohibits discrimination based on certain protected characteristics, including race.The Financial Conduct Authority (FCA), as the independent regulator of financial services firms, requires firms to treat customers fairly under its rules. This includes ensuring that firms meet their obligations under the Equality Act 2010.The FCA operates independently within the statutory framework agreed by Parliament and has robust powers to take action where necessary.

What steps her Department plans to take to ensure that Gypsies and Travellers are able to access homes and contents insurance without discrimination.

Insurers make commercial decisions about the terms on which they will offer cover following an assessment of the relevant risks. This is usually informed by the insurer’s claims experience and other industry-wide statistics. The government does not usually intervene in these decisions. However, the government is determined that insurers treat customers fairly and insurers must comply with all relevant regulations and legislation. This includes the Equality Act 2010 which generally prohibits discrimination based on certain protected characteristics, including race. The Financial Conduct Authority (FCA), as the independent regulator of financial services firms, requires firms to treat customers fairly under its rules. This includes ensuring that firms meet their obligations under the Equality Act 2010. The FCA actively monitors firms and has robust powers to take action if firms do not comply with its rules. Individual insurers may take a different view of the relevant factors in determining whether they will offer insurance and at what price. Consumers may wish to contact the British Insurance Brokers’ Association, who can offer guidance on how to look across the insurance market for the best deals and may be able to provide names of specialist brokers.

What fiscal steps she is taking to support small retail, hospitality and leisure businesses in City of Durham constituency.

Businesses in our retail, hospitality and leisure sectors are foundational to our economy and our high streets, and we are supporting them to succeed.From 2026-27, we will introduce a permanently lower business rates multiplier for retail, hospitality and leisure properties with rateable values under £500,000.We have increased the Employment Allowance to £10,500, pledged to cut business admin costs by 25% during this parliament, and introduced tougher retail crime measures, including a new offence for assaulting retail workers and ending immunity for shop theft under £200.

Whether she has assessed the potential impact of making pensions subject to (a) inheritance tax and (b) probate on bereaved families.

Most unused pension funds and death benefits will be included within the value of a person’s estate for inheritance tax purposes from 6 April 2027. This removes distortions resulting from changes that have been made to pensions tax policy over the last decade, which have led to pensions being openly used and marketed as a tax planning vehicle to transfer wealth, rather than as a way to fund retirement. These reforms also remove inconsistencies in the inheritance tax treatment of different types of pensions. Estates will benefit from the normal nil-rate bands, reliefs, and exemptions available. For example, the nil-rate bands mean an estate can pass on up to £1 million with no inheritance tax liability, and the general rules mean any transfers to a spouse or civil partner are fully exempt from inheritance tax. The reforms are forecast to raise £1,460 million in 2029-30. The independent Office for Budget Responsibility certified this costing at Autumn Budget 2024. Most estates will continue to have no inheritance tax liability following these changes. The Government estimates that, out of around 213,000 estates with inheritable pension wealth in 2027-28, 10,500 estates – or around 1.5 per cent of total UK deaths - will become liable to pay inheritance tax where this would not previously have been the case. Around 38,500 estates will pay more inheritance tax than would previously have been the case. Unlike the revenue forecast, these figures do not take into account potential behavioural changes following the announcement of these measures and are illustrative. An assessment of impacts was included in the recent technical consultation on the processes required to implement these changes. This can be found at www.gov.uk/government/consultations/inheritance-tax-on-pensions-liability-reporting-and-payment/technical-consultation-inheritance-tax-on-pensions-liability-reporting-and-payment#part-4-assessment-of-impacts. In accordance with standard practice, a tax information and impact note will be published alongside the draft legislation before the relevant Finance Bill.

What assessment her Department has made of the potential merits of reviewing (a) car and (b) other vehicle taxes to ensure non-emission producing vehicles are not charged higher rates than emission producing vehicles.

The Government uses the tax system to support a variety of objectives including our legally binding climate targets and the transition to electric vehicles (EVs). From 1 April 2017, a reformed Vehicle Excise Duty (VED) system was introduced for new cars. The changes in April 2017 were applied to new cars only, meaning that the tax treatment of existing cars was not affected. Under the reformed VED system, new cars pay a variable first year rate according to the emissions of the vehicle, with the most polluting currently paying over £5,400, and zero emission models currently pay £10. Since the introduction of the current VED system in 2017, standard rates have risen in line with inflation only, meaning drivers have not experienced a real terms increase. At Autumn Budget 2024, the Government announced changes to the VED first year rates from 1 April 2025, to introduce higher rates for hybrid and petrol/diesel vehicles for 2025-26, and a freeze to the rate for zero emission vehicles until 2029-30. The Budget also announced new company car tax rates for 2028-29 and 2029-30, which gradually increase the rates for both petrol/diesel and electric vehicles whilst restricting incentives for hybrid vehicles. Cars are also treated according to their emissions under the capital allowances system; and company cars made available for private use are taxed according to their CO2 emissions under the benefit in kind regime. Emissions-producing vehicles are generally subject to fuel duty, which is levied on petrol and diesel they use.

If she will make an assessment of the potential (a) impact of (i) banks, (ii) finance and (iii) debt collection companies' practices on consumers and (b) merits of bringing forward regulation to prevent overcharging when debts are reclaimed.

The Government expects fair treatment of individuals in debt and recognises the important role of responsible practices for debt recovery. We likewise recognise the negative impact that aggressive pursuit of debt can have on individuals.For financial services debts, such as a bank loan, the Financial Conduct Authority (FCA) requires firms to treat their customers fairly and offer a range of appropriate forbearance options. Debt collection firms must also follow FCA rules when collecting financial services debts, and the FCA has a broad enforcement toolkit to penalise firms which breach them.More broadly, the FCA requires that consumer credit firms provide credit in responsible manner. Under FCA rules, firms must assess a potential borrower’s creditworthiness before extending credit to them. Firms must also only offer credit that is suitable for a potential borrower’s needs and circumstances and ensure that the credit does not lead to over-indebtedness.The Government remains committed to improving debt collection practices across sectors. In March 2024, the FCA published a joint letter alongside Ofgem, Ofwat, and Ofcom setting out their shared expectations for how firms should support customers in financial difficulty and rules governing this in their respective sectors.

If she will make it her policy to update Overseas Scale Rates in the upcoming Spring Forecast.

As with all taxes and allowances, the Government keeps flat rates expenses, including Overseas Scale Rates, under review. Any decisions on future changes in this area will be taken in the context of the wider public finances.

Whether she plans to expand the Soft Drinks Industry Levy to milk based drinks.

The SDIL is internationally recognised as a successful tax intervention, with measurable reformulation and consequent health impacts. As with all taxes, the Government keeps SDIL under review as part of its Budget process.

If she will make an assessment of the potential merits of agreeing a UN global tax convention.

The UK is committed to working with all stakeholders to ensure inclusive and effective international tax cooperation, and has been actively engaging in negotiations at the UN over a future Framework Convention. The UK believes that a UN Tax Framework Convention has the potential to further advance international tax cooperation, but to be successful, it needs to be clear in its aims, avoid duplicating initiatives, and seek to secure the broad support and participation of members. The UK was disappointed that these principles were not fully reflected in the Terms of Reference agreed by the UN Ad Hoc Committee in August, but will continue to engage constructively in support of key principles for strengthening international tax cooperation.