Written questions by McMurdock.

Whether she plans to bring forward proposals to reform the Lifetime ISA scheme in the Autumn Budget 2025.

Data from the latest UK House Price Index shows that while the average price paid by first-time buyers has increased, it is still below the Lifetime ISA (Individual Savings Accounts) property price cap in all regions of the UK except for London, where the average price paid is affected by boroughs with very high property values. Having a single property cap across the UK simplifies the Lifetime ISA for savers and account providers. This Government is committed to helping first time buyers own their own home and will do this by building 1.5 million more homes. The Government keeps all aspects of tax and savings policy under review.

Whether she plans to introduce an indexation mechanism to ensure the Lifetime ISA property price cap remains in line with (a) inflation and (b) housing market trends.

Data from the latest UK House Price Index shows that while the average price paid by first-time buyers has increased, it is still below the Lifetime ISA (Individual Savings Accounts) property price cap in all regions of the UK except for London, where the average price paid is affected by boroughs with very high property values. Having a single property cap across the UK simplifies the Lifetime ISA for savers and account providers. This Government is committed to helping first time buyers own their own home and will do this by building 1.5 million more homes. The Government keeps all aspects of tax and savings policy under review.

What estimate she has made of the number of Lifetime ISA holders that have paid a withdrawal penalty in each of the last five years.

The number of Lifetime ISA holders who have made an unauthorised withdrawal and hence, paid a withdrawal penalty for tax years 2020/21 to 2023/24 is available in the Annual Savings Statistics publication, specifically in the Lifetime Individual Savings Accounts Tables 1a. The figures for tax year 2024/25 will be released in the 2025 Annual Savings Statistics publication on 18th September 2025. Link:https://assets.publishing.service.gov.uk/media/66ed20d8c8398625c331e80c/Lifetime_Individual_Savings_Account_Tables_2024.ods Annual savings statistics - Official statistics announcement - GOV.UK

What steps she is taking to ensure the Lifetime ISA continues to help first-time buyers.

Data from the latest UK House Price Index shows that while the average price paid by first-time buyers has increased, it is still below the Lifetime ISA (Individual Savings Accounts) property price cap in all regions of the UK except for London, where the average price paid is affected by boroughs with very high property values. Having a single property cap across the UK simplifies the Lifetime ISA for savers and account providers. This Government is committed to helping first time buyers own their own home and will do this by building 1.5 million more homes. The Government keeps all aspects of tax and savings policy under review.

What recent analysis she has made of the potential impact on the economy of Lifetime ISA savers defering utilising the scheme for purchasing houses due to the house price restriction and withdrawal penalty.

The LISA encourages younger people to save towards later life at the same time as being able to save for their first home. Data from the latest UK House Price Index shows that while the average price paid by first-time buyers has increased, it is still below the Lifetime ISA property price cap in all regions of the UK except for London, where the average price paid is affected by boroughs with very high property values. As of 2023/24, there were over 1.3 million LISA accounts open and, since its introduction in 2017, the LISA has helped 227,600 people purchase their first property.

What discussions she has had with care and support charities on proposed VAT rule changes.

The government recognises the significant challenges facing the adult social care system and is committed to transforming the sector and supporting the care workforce. At the Spending Review the Government announced an increase of over £4 billion of funding available for adult social care in 2028/29 compared to 2025/26, to support the sector to improve adult social care. This includes an increase to the NHS’s minimum contribution to adult social care via the Better Care Fund, in line with DHSC's Spending Review settlement. Supplies of welfare services, including the provision of care, are exempt from VAT if they are supplied by eligible bodies, such as public bodies or charities.

What assessment she has made of the potential impact of increased National Insurance contributions on voluntary sector health organisations.

A Tax Information and Impact Note (TIIN) was published alongside the introduction of the Bill containing the changes to employer National Insurance contributions (NICs). The TIIN sets out the impact of the policy on the exchequer, the economic impacts of the policy, and the impacts on individuals, businesses, and civil society organisations, as well as an overview of the equality impacts. To support social care authorities to deliver key services, in light of pressures, the Government is making available up to £3.7 billion of additional funding for social care authorities in 2025/26, which includes a £880 million increase in the Social Care Grant. This is part of an overall increase to local government spending power of 6.8% in cash terms. More widely, the Government provides support for charities, including hospices, via our tax regime, which is among the most generous of anywhere in the world. Tax reliefs for charities and their donors was worth just over £6 billion for the tax year to April 2024.

What assessment HMRC has made of the potential merits of using alternative data sources on smoking incidence to calculate tobacco tax estimates.

The tobacco duty forecast starts by generating an in-year estimate for receipts in the current year based on the year-to-date performance of receipts. Future tobacco duty receipts are then forecast from that starting point based on inflation (CPI and RPI), real household consumption and underlying trends in tobacco consumption. Smoking incidence rates impact receipts and are accounted for via the in-year receipts estimate and underlying trends in tobacco consumption. The Office for Budget Responsibility (OBR) provide further details on the tobacco tax receipt forecast on their Tobacco duties forecast webpage.

What steps she is taking to help ensure that pension investment rules (a) safeguard pensions and (b) encourage greater occupancy of vacant commercial properties.

Pension schemes can rent out commercial property at below market value. The only restriction on this is that there is an unauthorised payment charge where the tenant is connected with the pension scheme. This rule prevents value being transferred out of the pension scheme and the Government has no plans to review this.

What assessment she has made of the potential impact of tax disincentives that prevent pension property owners from letting units at reduced rates on (a) high street regeneration and (b) town centre vacancy rates.

Pension schemes can rent out commercial property at below market value. The only restriction on this is that there is an unauthorised payment charge where the tenant is connected with the pension scheme. This rule prevents value being transferred out of the pension scheme and the Government has no plans to review this.

Whether she plans to review the unauthorised payments charge applied to pension schemes that rent commercial property below market value.

Pension schemes can rent out commercial property at below market value. The only restriction on this is that there is an unauthorised payment charge where the tenant is connected with the pension scheme. This rule prevents value being transferred out of the pension scheme and the Government has no plans to review this.

What recent assessment she has made of the potential impact of business rates on the viability of small businesses operating on the high street.

The Government is committed to creating a fairer business rates system that supports small businesses and protects the high street. Over a third of properties (more than 700,000) already pay no business rates as they receive 100 per cent Small Business Rates Relief, with an additional c.60,000 benefiting from reduced bills as this relief tapers. To deliver our manifesto pledge, we intend to introduce permanently lower tax rates for retail, hospitality, and leisure (RHL) properties, with rateable values below £500,000 from 2026-27. This permanent tax cut will ensure that they benefit from much-needed certainty and support. To target support towards smaller RHL properties, the Government intends to give the biggest cut to RHL properties currently paying the small business multiplier – those with a rateable value less than £51,000. The rates for any new business rate multipliers will be set at Budget 2025 so that the Government can take into account the upcoming revaluation outcomes, as well as the economic and fiscal context. Ahead of these changes being made, the Government recognises that businesses will need support in 2025-26. As such, we have prevented the current RHL relief from ending in April 2025, extending it for one year at 40 per cent up to a cash cap of £110,000 per business. We have also frozen the small business multiplier, protecting over a million properties from inflationary bill increases.

What steps she is taking to improve access to financial advice for people with little to no savings.

The Government is committed to supporting people of all income levels and all stages of life to save, and recognises the importance of accessible, high-quality financial advice and guidance - particularly for those with little or no savings.To help achieve this, the Government sponsors the Money and Pensions Service (MaPS), which provides free and impartial money and pensions guidance to the public online and by telephone. MaPS also offers a range of practical tools and resources to help individuals build savings, including a free Budget Planner and guides to help people manage their money, track spending, and identify opportunities to save.At the Autumn Budget last year we extended the Help to Save scheme, which encourages low-income workers to save regularly. This Government also extended the eligibility criteria to include all Universal Credit claimants in work, not just those earning above a certain thresholdIn addition, the Government is taking forward a Financial Inclusion Strategy to ensure that everyone has access to appropriate and affordable financial products and services. As part of this strategy, we are considering what more can be done to support people to build savings and strengthen their financial resilience.

If she will make an assessment of the potential impact of the provisions within the proposed UK-India free trade agreement on National Insurance contributions on employment rates of British workers.

The OBR will certify the impact of the trade deal including the Double Contributions Convention in the usual way at a fiscal event, once the deal is finalised and ratified. The agreement to negotiate a Double Contributions Convention was made in the context of the wider deal, which will bring billions into the economy.

If she will make an assessment of the potential impact of the proposed exemption of Indian (a) based employers and (b) multi-national corporations with offices in the UK from paying National Insurance contributions on (i) costs to the public purse and (ii) those businesses in each of the next three years.

The OBR will certify the impact of the trade deal including the Double Contributions Convention in the usual way at a fiscal event, once the deal is finalised and ratified. The agreement to negotiate a Double Contributions Convention was made in the context of the wider deal, which will bring billions into the economy.

What assessment she has made of the potential implications for her policies of regional differences in the use of cash purchases.

The Government recognises that cash continues to be used by millions of people across the UK, including those in vulnerable groups, and is committed to protecting access to cash for individuals and businesses.The Financial Conduct Authority (FCA) assumed regulatory responsibility for access to cash in September 2024. Its rules require the UK’s largest banks and building societies to assess the impact of a closure or material alteration of a relevant cash withdrawal or deposit facility and put in place a new service if necessary. Assessments are undertaken by LINK, the industry designated coordinating body responsible for conducting cash access assessments. LINK take into account a number of factors including those unique to each location, such as the size and vulnerability of the population and whether to is reasonable for people to travel to nearby facilities, factoring in geographic barriers such as hills, rivers and major roads. The Government is also committed to ensuring appropriate banking services are in place to support communities across the country. This is why the Government is working closely with industry to roll out 350 banking hubs across the UK by the end of this Parliament. These hubs will provide small businesses and individuals with critical cash and in-person banking services. Over 200 banking hubs have been recommended to date and over 150 are already open.

What steps she is taking to ensure cash remains protected in (a) South Basildon and East Thurrock constituency and (b) other areas where it is used above the national average.

The Government recognises that cash continues to be used by millions of people across the UK, including those in vulnerable groups, and is committed to protecting access to cash for individuals and businesses.The Financial Conduct Authority (FCA) assumed regulatory responsibility for access to cash in September 2024. Its rules require the UK’s largest banks and building societies to assess the impact of a closure or material alteration of a relevant cash withdrawal or deposit facility and put in place a new service if necessary. Assessments are undertaken by LINK, the industry designated coordinating body responsible for conducting cash access assessments. LINK take into account a number of factors including those unique to each location, such as the size and vulnerability of the population and whether to is reasonable for people to travel to nearby facilities, factoring in geographic barriers such as hills, rivers and major roads. The Government is also committed to ensuring appropriate banking services are in place to support communities across the country. This is why the Government is working closely with industry to roll out 350 banking hubs across the UK by the end of this Parliament. These hubs will provide small businesses and individuals with critical cash and in-person banking services. Over 200 banking hubs have been recommended to date and over 150 are already open.

How many complaints her Department has received on the difficulty of (a) accessing and (b) using the Government Gateway.

HMRC has 56 million active users of Government Gateway, who successfully used Government Gateway 435m times for the period 1 April 2024 – 14 March 2025. In the same period HMRC received 472 complaints in respect of accessing and/or using the service.

What steps she is taking to improve support available for people to (a) access and (b) use Government Gateway accounts.

Government Gateway is easy to access and use. It is available 24 hours a day, all year round. For the period April 2024 to March 2025, it had over 56 million active accounts and was used 434.9 million times to access Government Digital Services.HMRC provides a user-tested online service for setting up accounts on Government Gateway. Users have three attempts to prove their identity, with dynamic guidance provided after each attempt.Dedicated customer technical support is available via online form, email, and telephone.GOV.UK One Login (including face-to-face verification) will gradually replace Government Gateway starting Winter 2025. Plans are in place to ensure effective support during the transition.

If he will take steps to support people to access Government Gateway accounts without physical documentation.

Where a customer does not have a driving license or passport, dependent on what records exist for that customer, they can use the following evidence items to prove their identity using Government Gateway:• Self-Assessment – (If record available) This is a knowledge-based question based on previous tax records.• Credit Reference – These are knowledge-based questions based on 3rd party credit reference records.• Tax Credits – (If record available) This is a knowledge-based question based on previous tax records. If a user is unable to provide sufficient evidence to prove their identity online, they can contact the relevant department (e.g. HMRC or DWP) directly by telephone, post, or face to face (DWP Only).There are no plans to improve or add additional options to Government Gateway to enable people to prove their identity – instead additional methods to prove identity will be provided by Gov.UK One Login (including face-to-face verification) which will gradually replace Government Gateway starting Winter 2025.