Written questions by McMurdock.

What assessment she has made of trends in the level of personal debt among financially vulnerable households in South Basildon and East Thurrock constituency.

The Government regularly engages with the Bank of England, the Financial Conduct Authority (FCA), and the Money and Pensions Service (MaPS) to monitor personal finances and debt levels. Household debt levels have been falling since the beginning of 2022, with the household debt-to-income ratio in 2025 at its lowest level since 2002. The Financial Policy Committee at the Bank of England expects households to remain resilient in aggregate. However, the Government also recognises that some households face difficulties managing debt. The Government is committed to ensuring that those in problem debt can access the specialist support they need to get their finances back on track. That is why we fund free, impartial debt advice services through MaPS to meet the needs and concerns of individuals in debt, including national and community-based services offering free-to-client debt advice. MaPS regularly measures the need for debt advice in the UK. Its 2025 MoneyView Report notes that c.12% of adults in South Basildon and East Thurrock constituency need debt advice (compared to 14% of all UK adults).

With reference to the Trade Remedies Authority's press release entitled Anti-dumping measure on ironing boards from China maintained, published on 12 February 2026, what the anti-dumping duties on Chinese ironing boards will be spent on.

Revenue collected from this and other trade remedies measures is not ringfenced and is therefore part of how public services, including schools, police, and the NHS, are funded.

What proportion of staff in her Department have (a) office-based, (b) hybrid and (c) remote-working contracts.

HM Treasury is an office‑based organisation. Staff are employed on office‑based contracts and may work remotely under the Department’s hybrid working policy, which expects at least 60% office attendance. Hybrid working is an informal arrangement and not contractual. The Department does not generally offer home‑based contracts; full‑time homeworking is only agreed on a temporary basis, for example as a workplace adjustment.

With reference to her Department’s press release entitled, Act now: 864,000 sole traders and landlords face new tax rules in two months, published on 5 February 2026, what proportion of exemption requests for those who cannot use digital tools has been rejected.

HMRC has been accepting applications for exemption from Making Tax Digital (MTD) for Income Tax since 29 September 2025. As of 31 January 2026, we have received 1,271 applications for exemption from MTD for Income Tax on the grounds of digital exclusion. As of 31 January 2026, decisions had been made on 881 applications, with 661 granted exemptions from the MTD for Income Tax requirements. HMRC has assessed the potential impact of MTD for Income Tax the potential impact of MTD for Income Tax on compliance costs and administrative requirements across different customer groups, including self-employed individuals, small businesses, and landlords. The latest published assessment is available at: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlords - GOV.UK Equalities are also considered as part of this impacting. The government is clear that where a taxpayer cannot use MTD for Income Tax, for example due to age or disability, they can apply for exemption from the MTD requirements.

With reference to her Department’s press release entitled, Act now: 864,000 sole traders and landlords face new tax rules in two months, published on 5 February 2026, how many exemption requests for those who cannot use digital tools HMRC has received to date.

HMRC has been accepting applications for exemption from Making Tax Digital (MTD) for Income Tax since 29 September 2025. As of 31 January 2026, we have received 1,271 applications for exemption from MTD for Income Tax on the grounds of digital exclusion. As of 31 January 2026, decisions had been made on 881 applications, with 661 granted exemptions from the MTD for Income Tax requirements. HMRC has assessed the potential impact of MTD for Income Tax the potential impact of MTD for Income Tax on compliance costs and administrative requirements across different customer groups, including self-employed individuals, small businesses, and landlords. The latest published assessment is available at: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlords - GOV.UK Equalities are also considered as part of this impacting. The government is clear that where a taxpayer cannot use MTD for Income Tax, for example due to age or disability, they can apply for exemption from the MTD requirements.

With reference to her Department’s press release entitled Act now: 864,000 sole traders and landlords face new tax rules in two months, published on 5 February 2026, whether HMRC has undertaken an equality impact assessment of the implementation of Making Tax Digital for Income Tax on older and digitally excluded sole traders and landlords.

HMRC has been accepting applications for exemption from Making Tax Digital (MTD) for Income Tax since 29 September 2025. As of 31 January 2026, we have received 1,271 applications for exemption from MTD for Income Tax on the grounds of digital exclusion. As of 31 January 2026, decisions had been made on 881 applications, with 661 granted exemptions from the MTD for Income Tax requirements. HMRC has assessed the potential impact of MTD for Income Tax the potential impact of MTD for Income Tax on compliance costs and administrative requirements across different customer groups, including self-employed individuals, small businesses, and landlords. The latest published assessment is available at: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlords - GOV.UK Equalities are also considered as part of this impacting. The government is clear that where a taxpayer cannot use MTD for Income Tax, for example due to age or disability, they can apply for exemption from the MTD requirements.

With reference to her Department’s press release entitled Act now: 864,000 sole traders and landlords face new tax rules in two months, published on 5 February 2026, what analysis has been conducted on the potential costs to small businesses of the transition to digital tax reporting under Making Tax Digital for Income Tax.

HMRC has been accepting applications for exemption from Making Tax Digital (MTD) for Income Tax since 29 September 2025. As of 31 January 2026, we have received 1,271 applications for exemption from MTD for Income Tax on the grounds of digital exclusion. As of 31 January 2026, decisions had been made on 881 applications, with 661 granted exemptions from the MTD for Income Tax requirements. HMRC has assessed the potential impact of MTD for Income Tax the potential impact of MTD for Income Tax on compliance costs and administrative requirements across different customer groups, including self-employed individuals, small businesses, and landlords. The latest published assessment is available at: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlords - GOV.UK Equalities are also considered as part of this impacting. The government is clear that where a taxpayer cannot use MTD for Income Tax, for example due to age or disability, they can apply for exemption from the MTD requirements.

With reference to her Department’s press release entitled Act now: 864,000 sole traders and landlords face new tax rules in two months, published on 5 February 2026, what assessment she has made of the potential impact of the requirement to maintain digital records and submit quarterly tax updates under Making Tax Digital for Income Tax on sole traders and landlords.

The government is undertaking a range of activities to ensure those needing to use Making Tax Digital (MTD) for Income Tax from April 2026 are ready and able to do so successfully. This includes targeted media campaigns, awareness letters, developing guidance, and working with the software industry to ensure a broad range of MTD‑compatible products is available, to suit different needs and budgets. Free options will support those with the simplest affairs. MTD will help businesses and landlords keep on top of their tax affairs. It places small businesses on a more digital footing, with digital tools helping to reduce errors and making annual tax returns easier. HMRC’s latest published assessment of the potential impact of MTD for Income Tax across different taxpayer groups is available at: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlords - GOV.UK

With reference to her Department’s press release entitled Act now: 864,000 sole traders and landlords face new tax rules in two months, published on 5 February 2026, what assessment she has made of the adequacy of awareness of the the new Making Tax Digital for income tax rules among sole traders and landlords.

The government is undertaking a range of activities to ensure those needing to use Making Tax Digital (MTD) for Income Tax from April 2026 are ready and able to do so successfully. This includes targeted media campaigns, awareness letters, developing guidance, and working with the software industry to ensure a broad range of MTD‑compatible products is available, to suit different needs and budgets. Free options will support those with the simplest affairs. MTD will help businesses and landlords keep on top of their tax affairs. It places small businesses on a more digital footing, with digital tools helping to reduce errors and making annual tax returns easier. HMRC’s latest published assessment of the potential impact of MTD for Income Tax across different taxpayer groups is available at: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlords - GOV.UK

With reference to her Department’s press release entitled Act now: 864,000 sole traders and landlords face new tax rules in two months, published on 5 February 2026, what steps HM Revenue and Customs is taking to ensure that sole traders and landlords impacted by the new Making Tax Digital for Income Tax rules are aware of their obligations.

The government is undertaking a range of activities to ensure those needing to use Making Tax Digital (MTD) for Income Tax from April 2026 are ready and able to do so successfully. This includes targeted media campaigns, awareness letters, developing guidance, and working with the software industry to ensure a broad range of MTD‑compatible products is available, to suit different needs and budgets. Free options will support those with the simplest affairs. MTD will help businesses and landlords keep on top of their tax affairs. It places small businesses on a more digital footing, with digital tools helping to reduce errors and making annual tax returns easier. HMRC’s latest published assessment of the potential impact of MTD for Income Tax across different taxpayer groups is available at: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlords - GOV.UK

Whether her Department has made an assessment of the potential impact of the tax treatment of the State Pension and Pension Credit on the relative incomes of pensioners.

The Government is committed to making sure older people can live with the dignity and respect they deserve in retirement. The State Pension will remain the foundation of retirement income. In line with the Government’s commitment to the Triple Lock for the duration of this parliament, over 12 million pensioners will benefit from a 4.8% increase to their basic or new State Pension in April 2026, worth up to £575 a year. This follows a substantial increase in 2025/26, when those on the full new State Pension received a £360 boost. The Pension Credit Standard Minimum Guarantee will also increase by 4.8% in April 2026, from £227.10 to £238 a week for single pensioners and from £346.60 to £363.25 for couples, protecting the poorest pensioners. Pension Credit is not subject to income tax. Pension income, whether State or occupational, is a form of income like earnings and, as such, is taxable, subject to any personal tax allowances. The vast majority of pensioners paid tax under the previous Government, with 8.3 million taxpayers over State Pension age in 2024/2025.

Pursuant to the Answer of 12 January 2026 to Question 102102, when she plans to publish guidance on the treatment of allowable expenses for childminders.

Childminders play a vital role in childcare. The Government has eased rules on working from schools and community centres and increased early years funding rates above 2023 average fees. These increases reflect increased costs, and from April 2026, local authorities must pass at least 97 per cent of funding to providers. At Budget 2025 the Government confirmed that the standard rules for calculating income tax would apply to childminders who are mandated into Making Tax Digital (MTD). HMRC engaged with stakeholders including Coram PACEY ahead of Budget 2025. We will phase in this change between 2026 and 2028, in line with the MTD income thresholds. The threshold from April 2026 is £50,000 of qualifying income, reducing to £30,000 from April 2027 and £20,000 from April 2028. Childminders not within MTD can continue to use existing arrangements if they wish. Childminders within MTD can continue to claim tax relief for wear and tear by deducting the actual cost of buying, repairing or replacing items. They can also deduct the cost of business expenses such as utilities, cleaning and equipment. This ensures childminders receive tax relief for all of the costs that they incur in relation to their childminding business. Childminders may be better off deducting actual costs, if deductions under the existing arrangements are lower than their actual expenses. HMRC will publish updated guidance for childminders in early 2026. Guidance on business expenses and on MTD for Income Tax is already available on GOV.UK. The Government will closely monitor the impacts of the policy over the course of the first year.

Whether she plans to review the structure of Vehicle Excise Duty.

Vehicle Excise Duty (VED), sometimes known as 'road tax' or 'car tax', is a tax on vehicles used or kept on public roads. Different rates apply to cars, vans, and motorcycles, and the rate for each vehicle is calculated according to a range of factors, such as its date of first registration, weight, or CO2 emissions. The government has no current plans to review this structure. At Autumn Budget 2025, the government announced the introduction of Electric Vehicle Excise Duty (eVED), a new mileage charge for electric and plug-in hybrid cars, which will come into effect from April 2028. Drivers will pay for their mileage alongside their existing Vehicle Excise Duty (VED).

What assessment she has made of the potential impact of tax, including a) Vehicle Excise Duty, b) VAT on vehicle purchases and c) fuel duty on motorists.

Revenue from motoring taxes helps to fund vital public services and infrastructure, including investment in roads and transport. The Government annually reviews the rates and thresholds of taxes and reliefs to ensure that they are appropriate and reflect the current state of the economy, including considering the impact on households and businesses. The Chancellor makes decisions on tax policy at fiscal events in the context of the public finances. At Budget 2025, the Government made a number of announcements relating to motoring tax. This included announcing continued support for people and businesses by extending the temporary 5p fuel duty cut until the end of August 2026. Rates will then gradually return to early 2022 levels. The planned increase in line with inflation for 2026-27 will not take place, with the Government uprating fuel duty rates by RPI from April 2027. This will save the average car driver £49 next year compared to previous plans. The Government also announced the introduction of Electric Vehicle Excise Duty (eVED) from April 2028, a new mileage charge for electric and plug-in hybrid cars, recognising that EVs contribute to congestion and wear and tear on the roads but pay no equivalent to fuel duty. The Government is taking a proportionate approach to ensuring electric car drivers pay an appropriate share whilst remaining firmly committed to supporting the transition to EVs. That is why the rate will be set at 50% of the equivalent fuel duty cost for petrol and diesel cars, and 80% of eVED revenue from the first three years is being reinvested to extend support for EVs and the auto manufacturing industry. This builds on existing generous support, including Company Car Tax incentives.

What assessment she has made of the potential impact of Vehicle Excise Duty rates on the uptake of electric vehicles.

Revenue from motoring taxes helps to fund vital public services and infrastructure, including investment in roads and transport. The Government annually reviews the rates and thresholds of taxes and reliefs to ensure that they are appropriate and reflect the current state of the economy, including considering the impact on households and businesses. The Chancellor makes decisions on tax policy at fiscal events in the context of the public finances. At Budget 2025, the Government made a number of announcements relating to motoring tax. This included announcing continued support for people and businesses by extending the temporary 5p fuel duty cut until the end of August 2026. Rates will then gradually return to early 2022 levels. The planned increase in line with inflation for 2026-27 will not take place, with the Government uprating fuel duty rates by RPI from April 2027. This will save the average car driver £49 next year compared to previous plans. The Government also announced the introduction of Electric Vehicle Excise Duty (eVED) from April 2028, a new mileage charge for electric and plug-in hybrid cars, recognising that EVs contribute to congestion and wear and tear on the roads but pay no equivalent to fuel duty. The Government is taking a proportionate approach to ensuring electric car drivers pay an appropriate share whilst remaining firmly committed to supporting the transition to EVs. That is why the rate will be set at 50% of the equivalent fuel duty cost for petrol and diesel cars, and 80% of eVED revenue from the first three years is being reinvested to extend support for EVs and the auto manufacturing industry. This builds on existing generous support, including Company Car Tax incentives.

What assessment she has made of the adequacy of expense rules for childminders whose homes function as full-time workplaces.

Childminders play a vital role in childcare. The Government has eased rules on working from schools and community centres and increased early years funding rates above 2023 average fees. These increases reflect increased costs, and from April 2026, local authorities must pass at least 97 per cent of funding to providers. At Budget 2025 the Government confirmed that the standard rules for calculating income tax would apply to childminders who are mandated into Making Tax Digital (MTD). HMRC engaged with stakeholders including Coram PACEY ahead of Budget 2025. We will phase in this change between 2026 and 2028, in line with the MTD income thresholds. The threshold from April 2026 is £50,000 of qualifying income, reducing to £30,000 from April 2027 and £20,000 from April 2028. Childminders not within MTD can continue to use existing arrangements if they wish. Childminders within MTD can continue to claim tax relief for wear and tear by deducting the actual cost of buying, repairing or replacing items. They can also deduct the cost of business expenses such as utilities, cleaning and equipment. This ensures childminders receive tax relief for all of the costs that they incur in relation to their childminding business. Childminders may be better off deducting actual costs, if deductions under the existing arrangements are lower than their actual expenses. HMRC will publish updated guidance for childminders in early 2026. Guidance on business expenses and on MTD for Income Tax is already available on GOV.UK. The Government will closely monitor the impacts of the policy over the course of the first year.

Pursuant to the Valuation Office Agency's news story entitled Business rates revaluation 2026, updated on 22 January 2026, what assessment she has made of the potential impact of changes to business rates on the financial viability of small businesses in South Basildon and East Thurrock constituency.

At the Budget, the VOA announced updated property values from the 2026 revaluation. This revaluation is the first since the pandemic, which has led to significant increases in rateable values for some properties as they recover from the pandemic. To support with bill increases, the Government has introduced a generous support package worth £4.3 billion over the next 3 years, including support to help ratepayers to transition to their new bill. This means most properties seeing increases will see them capped at 15% or less next year, or £800 for the smallest.The Government is introducing new permanently lower tax rates for eligible retail, hospitality and leisure (RHL) properties. These new tax rates are worth nearly £1 billion per year and will benefit over 750,000 properties. From April, every pub and live music venue will get 15% off its new business rates bill on top of the support announced at Budget and then bills will be frozen in real terms for a further two years.The Government is also supporting small businesses to grow. At Budget, the Government announced the extension of Small Business Rates Relief (SBRR) so that businesses opening second premises can retain their SBRR for three years, tripling the current allowance.

With reference to her Department’s response of 17 November 2025 to the e-petition entitled Raise the income tax personal allowance from £12,570 to £20,000, what assumptions were used for (a) behavioural changes, (b) labour market participation and (c) projected tax receipts for the £50 billion per annum figure.

The Personal Allowance is uprated in line with CPI by default. The previous Government took the decision to maintain the Personal Allowance at its current level from April 2021 until April 2028. The Government is asking everyone to contribute to maintain funding for the NHS and reduce debt, and it is doing this by maintaining the Personal Allowance for a further three years.As set out in the e-petition response, the Government has no plans to increase the Personal Allowance to £20,000. Increasing the Personal Allowance to £20,000 would come at a significant fiscal cost. This would reduce tax receipts substantially, decreasing funds available for the UK’s hospitals, schools, and other essential public services that we all rely on.Increasing the Personal Allowance to this level would undermine the work the Government has done to restore fiscal responsibility which is critical to getting our economy growing.HM Treasury only provides impact assessments on Government policy. The OBR have made an assessment of the Government’s policy related to the Personal Allowance in the Economic and Fiscal Outlook.The ‘£50 billion’ figure in the e-petition response (https://petition.parliament.uk/petitions/737513) provided an indicative idea of scale only and does not reflect a full costing as this is not Government policy. Data from the 2022-23 Survey of Personal Incomes and the Office for Budget Responsibility (OBR) economic forecast were used to inform this indicative estimate.

With reference to her Department’s response of 17 November 2025 to the e-petition entitled Raise the income tax personal allowance from £12,570 to £20,000, what assessment her Department has made of the potential impact of raising the income tax threshold to £20,000 on absolute poverty levels.

The Personal Allowance is uprated in line with CPI by default. The previous Government took the decision to maintain the Personal Allowance at its current level from April 2021 until April 2028. The Government is asking everyone to contribute to maintain funding for the NHS and reduce debt, and it is doing this by maintaining the Personal Allowance for a further three years.As set out in the e-petition response, the Government has no plans to increase the Personal Allowance to £20,000. Increasing the Personal Allowance to £20,000 would come at a significant fiscal cost. This would reduce tax receipts substantially, decreasing funds available for the UK’s hospitals, schools, and other essential public services that we all rely on.Increasing the Personal Allowance to this level would undermine the work the Government has done to restore fiscal responsibility which is critical to getting our economy growing.HM Treasury only provides impact assessments on Government policy. The OBR have made an assessment of the Government’s policy related to the Personal Allowance in the Economic and Fiscal Outlook.The ‘£50 billion’ figure in the e-petition response (https://petition.parliament.uk/petitions/737513) provided an indicative idea of scale only and does not reflect a full costing as this is not Government policy. Data from the 2022-23 Survey of Personal Incomes and the Office for Budget Responsibility (OBR) economic forecast were used to inform this indicative estimate.

With reference to her Department’s response of 17 November 2025 to the e-petition entitled Raise the income tax personal allowance from £12,570 to £20,000, whether her Department has assessed the potential long‑term impact of changes in labour market participation resulting from a higher Personal Allowance on the economy.

The Personal Allowance is uprated in line with CPI by default. The previous Government took the decision to maintain the Personal Allowance at its current level from April 2021 until April 2028. The Government is asking everyone to contribute to maintain funding for the NHS and reduce debt, and it is doing this by maintaining the Personal Allowance for a further three years.As set out in the e-petition response, the Government has no plans to increase the Personal Allowance to £20,000. Increasing the Personal Allowance to £20,000 would come at a significant fiscal cost. This would reduce tax receipts substantially, decreasing funds available for the UK’s hospitals, schools, and other essential public services that we all rely on.Increasing the Personal Allowance to this level would undermine the work the Government has done to restore fiscal responsibility which is critical to getting our economy growing.HM Treasury only provides impact assessments on Government policy. The OBR have made an assessment of the Government’s policy related to the Personal Allowance in the Economic and Fiscal Outlook.The ‘£50 billion’ figure in the e-petition response (https://petition.parliament.uk/petitions/737513) provided an indicative idea of scale only and does not reflect a full costing as this is not Government policy. Data from the 2022-23 Survey of Personal Incomes and the Office for Budget Responsibility (OBR) economic forecast were used to inform this indicative estimate.