Written questions by Morton.

What steps she is taking to reduce the burden of (a) food costs, (b) energy bills and (c) credit costs on households.

We know increased costs in essential areas are worrying and cause hardship for many families with children. That is why the Government is taking a comprehensive approach—supporting those in immediate need while addressing the structural changes necessary to fix the country's foundations. Food, energy and credit costs are a function of a variety of factors including international agricultural commodity prices, the exchange rate, wholesale energy prices, and interest rates. The best way to help with the cost of living is by reducing overall inflation. The Bank of England has the responsibility of controlling inflation, and the Government fully supports them as they take action to sustainably return inflation to 2%. The independent Monetary Policy Committee (MPC) has cut Bank Rate four times since August. The effective interest rate – the actual interest paid by a borrower - on new a 2-year fixed rate mortgage has fallen 46 basis points since the election (May 2025 vs June 2024). The government is committed to helping those in need due to the rising cost of living. An uplift to the Universal Credit Standard Allowance will see it rise to 5% above inflation by 2029-30. The government is also investing £1 billion a year (including Barnett impact) in a multi-year settlement for crisis support, which includes funding for councils to support some of the poorest households so that their children do not go hungry outside of term time. From the start of the 2026 school year, the government will expand Free School Meals to all pupils with a parent receiving Universal Credit. This will put £500 back into parents’ pockets every year. The most recent Ofgem energy price cap, in place until September is 7% lower than the previous cap, reducing annual energy bills for a typical home by £129. Additionally, the Warm Home Discount is being expanded to every billpayer on means-tested benefits, meaning 2.7 million extra households will receive £150 off their energy bills next winter, helping reduce energy costs for around 6 million households. From this winter (2025-26), pensioners with incomes up to and including £35,000 will benefit a Winter Fuel Payment. This will mean that the vast majority — over three quarters, or 9 million pensioners in England and Wakes — will benefit. This change ensures that the means-testing of winter fuel payments has no effect on pensioner poverty. The government’s top priority is to deliver strong, sustainable growth that raises living standards across the UK. A growing economy plays a key role in providing greater financial security for households and helping to make food, energy and credit more affordable.

What steps her Department is taking to ensure that inflation on essential food items does not disproportionately impact low and middle income households.

Food prices in the UK are a function of a variety of factors including international agricultural commodity prices, the exchange rate and energy prices. The government is committed to helping those in need due to the rising cost of living. An uplift to the Universal Credit Standard Allowance will see it rise to 5% above inflation by 2029-30. The government is also investing £1 billion a year (including Barnett impact) in a multi-year settlement for crisis support, which includes funding for councils to support some of the poorest households so that their children do not go hungry outside of term time. From the start of the 2026 school year, the government will expand Free School Meals to all pupils with a parent receiving Universal Credit. This puts £500 back into these parents’ pockets every year. In addition, from the start of this academic term, 750 schools are receiving funding to deliver a free breakfast club as Early Adopters, reaching more than 180,000 children and 70,000 pupils from schools in the most deprived parts of the country. The government’s top priority is to deliver strong, sustainable growth that raises living standards across the UK. A growing economy plays a key role in providing greater financial security for households and helping to make food more affordable.

What assessment her Department has made of the potential impact of Government fiscal policies on levels of food inflation.

HM Treasury does not produce forecasts of the UK economy. Forecasting the economy, including the impact of Government policy decisions, is the responsibility of independent Office for Budget Responsibility (OBR). The OBR does not publish estimates of the impact of policy decisions on levels of food inflation.

What assessment she has made of the potential impact of increases in (a) National Insurance Contributions and (b) the National Minimum Wage on food price inflation.

It is in the remit of the Low Pay Commission, who advise the Government on the minimum wage rates, to consider the impact of changes to the minimum wage on inflation, alongside the wider economy and the labour market. The Government knows that employers respond to increases in minimum wage rates in a range of ways, but existing evidence finds that the impact on inflation is small. Additionally, assessments made by the Office for Budget Responsibility (OBR) in March 2025 suggest that policy changes made at the 2024 Autumn Budget will lead to very small increases in CPI inflation, increasing the price level by less than 0.1 per cent by the end of the parliament. Throughout the forecast period, the OBR expect CPI inflation to remain close to the 2 per cent target. The OBR does not publish estimates of the impact of policy changes on food price inflation.

Whether she has made an assessment of the potential merits of introducing government-backed insurance guarantees or reinsurance schemes to enable private insurers to underwrite commercial activity in Ukraine.

As referred to in the previous PQ regarding risk mitigation in the insurance industry, the UK Government has played a leading role in developing solutions that have helped to reopen and rebuild insurance markets in Ukraine. The UK provided a £20 million contribution to the Multilateral Investment Guarantee Agency (MIGA) to extend the level of political risk and violence insurance it can provide to investors with projects in Ukraine. Additionally, the UK has also provided £5m to the European Bank for Reconstruction and Development (EBRD) to develop a complementary initiative that will make war related loss and damage cover available to firms already based in Ukraine. While no formal assessment of the merits has been conducted, introducing government-backed insurance guarantees or reinsurance schemes could facilitate private insurers’ entry into commercial activities. Such initiatives would help identify regulatory barriers that limit market participation and enhance engagement among local businesses, financial institutions, and project sponsors.

Whether she has discussions with (a) financial services regulators and (b) the insurance sector on developing risk-mitigation frameworks to support companies operating in Ukraine.

Treasury Ministers and officials have regular meetings with a wide variety of organisations, including insurers and financial regulators, on an ongoing basis. The UK Government has played a leading role in developing solutions that have helped to reopen and rebuild insurance markets in Ukraine. The UK provided a £20 million contribution to the Multilateral Investment Guarantee Agency (MIGA) to extend the level of political risk and violence insurance it can provide to investors with projects in Ukraine. Additionally, the UK has also provided £5m to the European Bank for Reconstruction and Development (EBRD) to develop a complementary initiative that will make war related loss and damage cover available to firms already based in Ukraine.

If she will make an assessment of the adequacy of using gross national income forecasts to determine future levels of Official Development Assistance.

To enable the government to invest more in security and defence, while remaining committed to our fiscal rules, the Prime Minister has taken the difficult decision to reduce Official Development Assistance (ODA) to the equivalent of 0.3% of GNI by 2027. Following the Spending Review, financial year ODA Departmental Expenditure Limit (DEL) totals will no longer be adjusted for Gross National Income fluctuations to improve budget stability. The government remains committed to international development and to returning ODA to 0.7% of GNI when the fiscal circumstances allow.

Pursuant to the Answer of 7 May 2025 to Question 46726 on Treasury: Information Officers, what the total annual cost is for the 40.9 full-time equivalent Government Communication Service professionals.

HM Treasury’s communications pay budget for the last financial year was £2,775,204.

What steps she is taking to ensure businesses are aware of National Insurance contributions relief for employers with apprentices under 25.

HMRC maintains comprehensive Gov.uk guidance to help employers understand the Class 1 NICs relief for apprentices under the age of 25, which has been in place since 2016. It can be found here: Paying employer National Insurance contributions for apprentices under 25 - GOV.UK. Beyond the NICs relief, the Government is committed to supporting apprenticeships as a key component of its growth mission to achieve growth. The Autumn Budget provided £40 million to help to deliver new foundation and shorter apprenticeships in key sectors.

What estimate she has made of the number of SMEs using National Insurance relief for apprentices aged under 25 in Aldridge-Brownhills constituency.

HMRC publishes estimates of the number of employers who benefit from the relief on employer National Insurance contributions for apprentices under 25, which are available here: https://www.gov.uk/government/statistics/main-tax-expenditures-and-structural-reliefs

Pursuant to the Answer of 28 April 2025 to Question 44990 on Government Departments: Advertising and Communication, how much money has been allocated to her Department's communications team in this financial year.

HMT sets its budgets annually. Allocations to the department’s communications team for this financial year have not yet been finalised.

What steps he has taken to ensure employers are aware of the available National Insurance relief when hiring apprentices under the age of 25.

HMRC maintains comprehensive Gov.uk guidance to help employers understand the Class 1 NICs relief for apprentices under the age of 25, which has been in place since 2016. It can be found here: Paying employer National Insurance contributions for apprentices under 25 - GOV.UK. Beyond the NICs relief, the Government is committed to supporting apprenticeships as a key component of its growth mission to achieve growth. The Autumn Budget provided £40 million to help to deliver new foundation and shorter apprenticeships in key sectors.

Pursuant to the Answer of 3 April 2025 to Question 41839 on Ukraine: Overseas Loans, if she will make an assessment of the potential merits of increasing the loan to Ukraine.

The Government is providing £2.26bn as part of the G7 Extraordinary Revenue Acceleration (ERA) Loans to Ukraine scheme. This will be repaid using profits from immobilised Russian sovereign assets in the EU.The G7 has assessed and agreed that the ERA can support $50bn of support to Ukraine – the entirety of which has been pledged. Any amendment to the ERA scheme would need to be agreed by the G7.The UK has committed £15bn in support to Ukraine to date, including £10bn in military support (including our £2.26 billion ERA Loan contribution) and £5bn in non-military support.

How many full-time-equivalent staff in her Department are employed in communications and public relations roles.

In the central HM Treasury communications team, there are a total of 40.9 Full Time Equivalent Government Communication Service professionals. Of this total, 19 work in the media discipline which covers press and media responsibilities. This is the latest available centrally collected data from June 2024.

What assessment has she made of the potential impact of the Spring Statement 2025 on per capita GDP growth in Aldridge-Brownhills.

Ensuring growth is felt in all regions of the UK is central to the Government’s Growth Mission. Our strategy for regional growth will drive growth in all regions and make the most of the opportunities in each part of the country. We are supporting regional growth, with a total package for local growth funds worth over £3 billion in 2025-26 alone. The UK Shared Prosperity Fund has been extended for a transition year at £900 million, ensuring stability for the most important local projects. We are launching integrated funding settlements to empower local leaders to drive local growth and invest in local priorities. West Midlands MCA will be eligible for an integrated settlement in 2026/27, worth over £380m. The Government has set a new strategic steer for the National Wealth Fund to deliver our ambition for growth across the country. The NWF will trial Strategic Partnerships, including in the West Midlands, to provide deeper, more focused support to regions. The OBR forecasts that living standards will rise in every year of its forecast and therefore that they will be higher by the end of the Parliament. GDP per capita will rise by 5.6% over this parliament (Q3 2024 – Q2 2029). This compares to a decline in GDP per capita under the previous Parliament.

What assessment she has made of the potential impact of increases in employers National Insurance Contributions on wages.

The Office for Budget Responsibility published the Economic and Fiscal Outlook (EFO) in March 2025, which sets out a detailed forecast of the economy and public finances, including their forecast on wages Economic and fiscal outlook – March 2025 - Office for Budget Responsibility.

Pursuant to the Answer of 27 March 2025 to Question 40496 on Business confidence in rural communities, what criteria her Department uses to classify a constituency as rural; and whether Aldridge-Brownhills constituency meets the criteria for such a classification.

Aldridge-Brownhills is not considered a rural constituency based on ONS 2021 rural-urban census data.The Government does not collect specific constituency level data on business confidence. Recent economy wide surveys from EY, PwC and Lloyds Bank show overall business and investor confidence is rising. This Government is going further and faster to deliver economic growth and support businesses by increasing capital spending, overhauling our regulatory system, and getting Britain building through the Planning and Infrastructure Bill.

What budget was allocated to (a) social media advertising, (b) paid-partnerships and (c) other digital communication of the measures in the Spring Statement.

No budget was allocated by HM Treasury for social media advertising, paid partnerships, or other digital communication of the measures in the Spring Statement beyond the budget for the core HMT communications team.

What assessment she has made of potential impact of the Spring Statement 2025 on levels of employment in Aldridge-Brownhills.

At Spring Statement 2025, the Office for Budget Responsibility (OBR), the government’s independent official forecaster, published its bi-annual economic and fiscal forecasts.In line with its mandate as set out in law, the OBR does not produce forecasts at a sub-national level.The OBR stated that it will make a full assessment of the economic impacts of the welfare policies announced in the Pathways to Work Green Paper ahead of its next forecast in the Autumn.

What estimate she has made of the percentage of funding that will be released to the Ministry of Defence of a result of the change in Gross National Income spent on Official Development Assistance in 2025-2026.

As set out in Table 2.1 in the Spring Statement 2025 document, all savings generated from the Official Development Assistance (ODA) reduction in 2025-26 will be spent on defence. The difficult choice to reduce ODA reflects the evolving nature of the threat and the strategic shift required to meet it, whilst maintaining economic stability, a core foundation of the Plan for Change.