Show Search Form

Search Results

registered interest	true false
date	exactly: or between: and
answering body
answering dept id
answering dept short name
answering dept sort name
hansard heading
house id
legislature	pref label
question text
tabling member constituency
tabling member printed
uin
answer	is ministerial correction true false date of answer exactly: or between: and answer text answering member constituency answering member printed grouped question UIN question first answered answering member label
tabling member	label

Search

1252206

registered interest
date	16/11/2020
answering body	Cabinet Office
answering dept id	53
answering dept short name	Cabinet Office
answering dept sort name	Cabinet Office
hansard heading	UK Relations with EU
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Minister for the Cabinet Office and the Chancellor of the Duchy of Lancaster, what contingency plans he has with respect to the UK's future relationship with the EU in the event of lorries queuing to cross the Channel after the transition period.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	115535
answer	answer is ministerial correction date of answer 19/11/2020 answer text <p>I refer the hon. Member to the <a href="https://bit.ly/3kJR8MF" target="_blank">oral statement</a> made by the Chancellor of the Duchy of Lancaster on 23 September about the Reasonable Worst Case Scenario planning assumptions which were published to support these planning activities.</p> answering member constituency Portsmouth North answering member printed Penny Mordaunt question first answered 19/11/2020 17:29:23 answering member 4017 label Biography information for Penny Mordaunt
tabling member	1546 label Biography information for Angus Brendan MacNeil

1252208

registered interest
date	16/11/2020
answering body	Treasury
answering dept id	14
answering dept short name	Treasury
answering dept sort name	Treasury
hansard heading	UK Relations with EU
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Chancellor of the Exchequer, what contingency plans he has with respect to the UK's future relationship with the EU in the event of manufacturers encountering difficulties with importing components after the transition period.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	115537
answer	answer is ministerial correction date of answer 19/11/2020 answer text <p>The Government has provided extensive guidance to traders to support them in their preparations for the end of the transition period, including publishing the detailed Border Operating Model to help traders take the necessary steps.</p><p> </p><p>Recognising the impact of coronavirus on businesses’ ability to prepare, the UK Government has taken the decision to introduce the new border controls in three stages up until 1 July 2021. From 1 January to 30 June, traders when importing non-controlled EU goods to GB will have the option to make a declaration in their own records at the time of import followed by a supplementary declaration up to 175 days later, which provides traders and intermediaries with more time to prepare.</p><p> </p><p>HMRC continue to work closely with industry to ensure they are engaging with the new requirements and can take the necessary steps to prepare, including through the latest public information campaign, cross-Government industry steering groups, webinars and events.</p><p> </p><p>HMRC will continue to engage with industry beyond the end of the transition period to understand any concerns and identify any further support that HMRC can provide.</p> answering member constituency Hereford and South Herefordshire answering member printed Jesse Norman question first answered 19/11/2020 17:25:25 answering member 3991 label Biography information for Jesse Norman
tabling member	1546 label Biography information for Angus Brendan MacNeil

1252209

registered interest
date	16/11/2020
answering body	Department for Environment, Food and Rural Affairs
answering dept id	13
answering dept short name	Environment, Food and Rural Affairs
answering dept sort name	Environment, Food and Rural Affairs
hansard heading	UK Relations with EU
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Environment, Food and Rural Affairs, what contingency plans he has with respect to the UK's future relationship with the EU in the event of an interruption in the supply of animal medicines after the transition period.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	115538
answer	answer is ministerial correction date of answer 19/11/2020 answer text <p>The UK has a highly resilient food supply chain. Our thorough preparations for leaving the EU in 2019, alongside the lessons we have learned during the Covid-19 response, provide a robust foundation for end of Transition Period planning on food supply. We are working alongside industry and across Government, including with the Devolved Administrations, to plan for the end of this year. The Government has well established ways of working with the food industry, which is experienced in dealing with situations that can cause disruptions to supply.</p><p>In terms of disruption at the border, the Border Operating Model (<a href="http://www.gov.uk/government/publications/the-border-operating-model" target="_blank">www.gov.uk/government/publications/the-border-operating-model</a>) provides greater detail on how the border with the EU will work following the end of the Transition Period and the mechanisms which will seek to mitigate the impact of additional volumes of traffic. We will, for example, have a contingency measure to prioritise single loads of fresh seafood and day old chicks which met the bar of hitting two out of three of the following criteria: perishability, animal welfare considerations, and economic impact on a specific geographical area. Defra is working very closely with other Government departments and local stakeholders, such as the Kent Resilience Forum, to ensure that those wishing to trade with the EU can do so in the most efficient and effective way possible.</p><p> </p><p>Defra has made regulatory provisions for all veterinary medicines currently authorised for use in the UK via an EU approval system to continue to be authorised in the UK after the end of the transition period. These products can remain on the UK market for sale and supply in their existing packaging.</p><p> </p><p>Defra’s close working relationship with the veterinary pharmaceutical industry has enabled the industry to prepare for the end of the transition period, including taking mitigating actions in the event of disruption to supply. These activities include maximising stocks within the UK and diverting supply routes away from the short straits, where the greatest risk of interruption to supply is posed, that being from border disruption. In addition, veterinary medicines are classified as eligible for use of the Government Secured Freight Capacity.</p><p> </p><p>We have well-established mechanisms for dealing with supply issues as and when they arise. Enhanced early warning indicator systems are now in place which will provide early warnings of demand exceeding supply. The prescribing cascade legislation, which for availability and animal welfare reasons permits veterinary surgeons to import veterinary medicines from outside the UK, allows sourcing of products from countries beyond the EU.</p><p> </p><p>Almost all fresh produce (including fruit, vegetables and cut flowers) from the EU will not be subject to any plant heath import controls until April 2021. From April, fresh produce will require a phytosanitary certificate and some goods will also require pre-notification. Importantly, there will continue to be no physical checks required at the border until July 2021 for almost all produce. From July onwards physical checks will be undertaken at approved designated Border Control posts on a risk basis. Any required checks will be performed as quickly as possible to minimise delays to the passage of goods and maintain border flow.</p><p> </p><p>The phased approach will allow time for trade to adapt to the new import requirements for EU goods.</p><p> </p><p>GB plant health authorities are undertaking significant recruitment to increase the number of plant health inspectors in order to service the demand for import and export checks and certification. We will have sufficient resources to meet demand from 1 January 2021 and ensure minimal disruption to trade. GB plant health services are currently reviewing their operating hours to make sure that biosecurity standards will continue to be met and strengthened in ways that support trade and the smooth flow of goods while minimising new burdens on businesses.</p> answering member constituency Banbury answering member printed Victoria Prentis grouped question UIN 115536 115542 question first answered 19/11/2020 16:38:56 answering member 4401 label Biography information for Victoria Prentis
tabling member	1546 label Biography information for Angus Brendan MacNeil

1252211

registered interest
date	16/11/2020
answering body	Department for Digital, Culture, Media and Sport
answering dept id	10
answering dept short name	Digital, Culture, Media and Sport
answering dept sort name	Digital, Culture, Media and Sport
hansard heading	UK Relations with EU
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Digital, Culture, Media and Sport what contingency plans he has with respect to the UK's future relationship with the EU in the event of a UK-based companies being disadvantaged through the treatment of data after the transition period.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	115540
answer	answer is ministerial correction date of answer 23/11/2020 answer text <p>We are working constructively with the Commission to secure data adequacy by the end of the transition period. We see no reason why we should not be awarded adequacy. However, the process is controlled by the Commission, and we are realistic about the increasingly challenging timelines for completion.</p><p>If adequacy decisions are not in place by the end of the transition period, organisations would be able to use alternative legal mechanisms to continue receiving personal data from the EU. Standard Contractual Clauses (SCCs) are the most common legal safeguard and will be the relevant mitigation for most organisations.</p><p>The ICO has created an interactive SCCs tool for businesses to use and further guidance can be found on GOV.UK and the ICO’s website regarding steps organisations may be required to take relating to data protection and data flows by the end of the transition period.</p><p><strong> </strong></p> answering member constituency Maldon answering member printed Mr John Whittingdale question first answered 23/11/2020 16:19:34 answering member 39 label Biography information for Sir John Whittingdale
tabling member	1546 label Biography information for Angus Brendan MacNeil

1252213

registered interest
date	16/11/2020
answering body	Department for Environment, Food and Rural Affairs
answering dept id	13
answering dept short name	Environment, Food and Rural Affairs
answering dept sort name	Environment, Food and Rural Affairs
hansard heading	UK Relations with EU
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Environment, Food and Rural Affairs, what contingency plans he has with respect to the UK's future relationship with the EU in the event of a UK-based companies experiencing losses through waste of perishable produce as a result of delays in importing and exporting after the transition period.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	115542
answer	answer is ministerial correction date of answer 19/11/2020 answer text <p>The UK has a highly resilient food supply chain. Our thorough preparations for leaving the EU in 2019, alongside the lessons we have learned during the Covid-19 response, provide a robust foundation for end of Transition Period planning on food supply. We are working alongside industry and across Government, including with the Devolved Administrations, to plan for the end of this year. The Government has well established ways of working with the food industry, which is experienced in dealing with situations that can cause disruptions to supply.</p><p>In terms of disruption at the border, the Border Operating Model (<a href="http://www.gov.uk/government/publications/the-border-operating-model" target="_blank">www.gov.uk/government/publications/the-border-operating-model</a>) provides greater detail on how the border with the EU will work following the end of the Transition Period and the mechanisms which will seek to mitigate the impact of additional volumes of traffic. We will, for example, have a contingency measure to prioritise single loads of fresh seafood and day old chicks which met the bar of hitting two out of three of the following criteria: perishability, animal welfare considerations, and economic impact on a specific geographical area. Defra is working very closely with other Government departments and local stakeholders, such as the Kent Resilience Forum, to ensure that those wishing to trade with the EU can do so in the most efficient and effective way possible.</p><p> </p><p>Defra has made regulatory provisions for all veterinary medicines currently authorised for use in the UK via an EU approval system to continue to be authorised in the UK after the end of the transition period. These products can remain on the UK market for sale and supply in their existing packaging.</p><p> </p><p>Defra’s close working relationship with the veterinary pharmaceutical industry has enabled the industry to prepare for the end of the transition period, including taking mitigating actions in the event of disruption to supply. These activities include maximising stocks within the UK and diverting supply routes away from the short straits, where the greatest risk of interruption to supply is posed, that being from border disruption. In addition, veterinary medicines are classified as eligible for use of the Government Secured Freight Capacity.</p><p> </p><p>We have well-established mechanisms for dealing with supply issues as and when they arise. Enhanced early warning indicator systems are now in place which will provide early warnings of demand exceeding supply. The prescribing cascade legislation, which for availability and animal welfare reasons permits veterinary surgeons to import veterinary medicines from outside the UK, allows sourcing of products from countries beyond the EU.</p><p> </p><p>Almost all fresh produce (including fruit, vegetables and cut flowers) from the EU will not be subject to any plant heath import controls until April 2021. From April, fresh produce will require a phytosanitary certificate and some goods will also require pre-notification. Importantly, there will continue to be no physical checks required at the border until July 2021 for almost all produce. From July onwards physical checks will be undertaken at approved designated Border Control posts on a risk basis. Any required checks will be performed as quickly as possible to minimise delays to the passage of goods and maintain border flow.</p><p> </p><p>The phased approach will allow time for trade to adapt to the new import requirements for EU goods.</p><p> </p><p>GB plant health authorities are undertaking significant recruitment to increase the number of plant health inspectors in order to service the demand for import and export checks and certification. We will have sufficient resources to meet demand from 1 January 2021 and ensure minimal disruption to trade. GB plant health services are currently reviewing their operating hours to make sure that biosecurity standards will continue to be met and strengthened in ways that support trade and the smooth flow of goods while minimising new burdens on businesses.</p> answering member constituency Banbury answering member printed Victoria Prentis grouped question UIN 115536 115538 question first answered 19/11/2020 16:38:56 answering member 4401 label Biography information for Victoria Prentis
tabling member	1546 label Biography information for Angus Brendan MacNeil

1252207

registered interest
date	13/11/2020
answering body	Department for Environment, Food and Rural Affairs
answering dept id	13
answering dept short name	Environment, Food and Rural Affairs
answering dept sort name	Environment, Food and Rural Affairs
hansard heading	UK Relations with EU
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Environment, Food and Rural Affairs, what contingency plans he has with respect to the UK's future relationship with the EU in the event of food shortages in shops after the transition period.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	115536
answer	answer is ministerial correction date of answer 19/11/2020 answer text <p>The UK has a highly resilient food supply chain. Our thorough preparations for leaving the EU in 2019, alongside the lessons we have learned during the Covid-19 response, provide a robust foundation for end of Transition Period planning on food supply. We are working alongside industry and across Government, including with the Devolved Administrations, to plan for the end of this year. The Government has well established ways of working with the food industry, which is experienced in dealing with situations that can cause disruptions to supply.</p><p>In terms of disruption at the border, the Border Operating Model (<a href="http://www.gov.uk/government/publications/the-border-operating-model" target="_blank">www.gov.uk/government/publications/the-border-operating-model</a>) provides greater detail on how the border with the EU will work following the end of the Transition Period and the mechanisms which will seek to mitigate the impact of additional volumes of traffic. We will, for example, have a contingency measure to prioritise single loads of fresh seafood and day old chicks which met the bar of hitting two out of three of the following criteria: perishability, animal welfare considerations, and economic impact on a specific geographical area. Defra is working very closely with other Government departments and local stakeholders, such as the Kent Resilience Forum, to ensure that those wishing to trade with the EU can do so in the most efficient and effective way possible.</p><p> </p><p>Defra has made regulatory provisions for all veterinary medicines currently authorised for use in the UK via an EU approval system to continue to be authorised in the UK after the end of the transition period. These products can remain on the UK market for sale and supply in their existing packaging.</p><p> </p><p>Defra’s close working relationship with the veterinary pharmaceutical industry has enabled the industry to prepare for the end of the transition period, including taking mitigating actions in the event of disruption to supply. These activities include maximising stocks within the UK and diverting supply routes away from the short straits, where the greatest risk of interruption to supply is posed, that being from border disruption. In addition, veterinary medicines are classified as eligible for use of the Government Secured Freight Capacity.</p><p> </p><p>We have well-established mechanisms for dealing with supply issues as and when they arise. Enhanced early warning indicator systems are now in place which will provide early warnings of demand exceeding supply. The prescribing cascade legislation, which for availability and animal welfare reasons permits veterinary surgeons to import veterinary medicines from outside the UK, allows sourcing of products from countries beyond the EU.</p><p> </p><p>Almost all fresh produce (including fruit, vegetables and cut flowers) from the EU will not be subject to any plant heath import controls until April 2021. From April, fresh produce will require a phytosanitary certificate and some goods will also require pre-notification. Importantly, there will continue to be no physical checks required at the border until July 2021 for almost all produce. From July onwards physical checks will be undertaken at approved designated Border Control posts on a risk basis. Any required checks will be performed as quickly as possible to minimise delays to the passage of goods and maintain border flow.</p><p> </p><p>The phased approach will allow time for trade to adapt to the new import requirements for EU goods.</p><p> </p><p>GB plant health authorities are undertaking significant recruitment to increase the number of plant health inspectors in order to service the demand for import and export checks and certification. We will have sufficient resources to meet demand from 1 January 2021 and ensure minimal disruption to trade. GB plant health services are currently reviewing their operating hours to make sure that biosecurity standards will continue to be met and strengthened in ways that support trade and the smooth flow of goods while minimising new burdens on businesses.</p> answering member constituency Banbury answering member printed Victoria Prentis grouped question UIN 115538 115542 question first answered 19/11/2020 16:38:56 answering member 4401 label Biography information for Victoria Prentis
tabling member	1546 label Biography information for Angus Brendan MacNeil

1249648

registered interest
date	09/11/2020
answering body	Department for Environment, Food and Rural Affairs
answering dept id	13
answering dept short name	Environment, Food and Rural Affairs
answering dept sort name	Environment, Food and Rural Affairs
hansard heading	Fisheries: Greenland and Iceland
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Environment, Food and Rural Affairs, which species of fish are referred to in the Bilateral Fisheries Memoranda with (a) Greenland and (b) Iceland; and what effect those agreements have on fishing quotas.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	113029
answer	answer is ministerial correction date of answer 12/11/2020 answer text <p>The aims of the bilateral Memoranda of Understanding with Greenland and Iceland are to promote discussion and cooperation on fisheries issues with both of the two countries. Fishing opportunities form no part of either of these Memoranda. Accordingly, no species of fish are referred to and neither Memorandum has any effect on fishing quotas.</p> answering member constituency Banbury answering member printed Victoria Prentis question first answered 12/11/2020 13:52:21 answering member 4401 label Biography information for Victoria Prentis
tabling member	1546 label Biography information for Angus Brendan MacNeil

1243093

registered interest
date	13/10/2020
answering body	Treasury
answering dept id	14
answering dept short name	Treasury
answering dept sort name	Treasury
hansard heading	Duty Free Allowances
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Chancellor of the Exchequer, what economic impact assessment he has undertaken of (a) not extending tax-free shopping to EU-bound passengers from 1 January 2021, and (b) withdrawing tax-free shopping from passengers travelling to non-EU destinations from 1 January 2021; and if he will publish that impact assessment.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	102712
answer	answer is ministerial correction date of answer 16/10/2020 answer text <p>Ahead of the end of the transition period, the Government has announced the VAT and excise duty treatment of goods purchased by individuals for personal use and carried in their luggage arriving from or going overseas (passengers). The following rules will apply from 1 January 2021:</p><p>- Passengers travelling from Great Britain to any destination outside the United Kingdom (UK) will be able to purchase duty-free excise goods once they have passed security controls at ports, airports, and international rail stations.</p><p>- Personal allowances will apply to passengers entering Great Britain from a destination outside of the UK, with alcohol allowances significantly increased.</p><p>- The VAT Retail Export Scheme (RES) in Great Britain will not be extended to EU residents and will be withdrawn for all passengers.</p><p>- The concessionary treatment on tax-free sales for non-excise goods will be removed across the UK.</p><p> </p><p>The Government published a consultation which ran from 11 March to 20 May. During this time the Government held a number of virtual meetings with stakeholders to hear their views and received 73 responses to the consultation. The Government is also continueing to meet and discuss with stakeholders following the announcement of these policies.</p><p> </p><p>The detailed rationale for these changes are included in the written ministerial statement and summary of responses to the recent consultation: <a href="https://questions-statements.parliament.uk/written-statements/detail/2020-09-11/hcws448" target="_blank">https://questions-statements.parliament.uk/written-statements/detail/2020-09-11/hcws448</a> and <a href="https://www.gov.uk/government/consultations/a-consultation-on-duty-free-and-tax-free-goods-carried-by-passengers" target="_blank">https://www.gov.uk/government/consultations/a-consultation-on-duty-free-and-tax-free-goods-carried-by-passengers</a>.</p><p> </p><p>HMRC estimate that VAT RES refunds cost around £0.5 billion in VAT in 2019 for around 1.2 million non-EU visitors. In 2019 the ONS estimate there were substantially more EU visitors (24.8 million) than non-EU passengers (16.0 million) to the UK. This implies an extension to EU residents would significantly increase the cost by up to an estimated £0.9 billion. This would result in a large amount of deadweight loss by subsidising spending from EU visitors which already happens without a refund mechanism in place, potentially taking the total cost up to around £1.4 billion per annum.</p><p> </p><p>The concessionary treatment on tax-free sales currently affects airports that fly to non-EU destinations. The extension of duty-free sales to EU bound passengers will be a significant boost to all airports in England, Scotland and Wales, including Edinburgh and Glasgow and smaller regional airports which have not been able to offer duty-free to the EU before.</p><p> </p><p>HMRC estimate that around £150 million of VAT is not charged as a result of tax-free airside sales. As with the VAT RES, extending the relief to the EU would significantly increase the cost of the scheme and result in a large amount of deadweight loss by subsidising spending from EU-bound passengers which already happens.</p><p> </p><p>The final costings will be subject to scrutiny by the independent Office for Budget Responsibility and will be set out at the next forecast.</p><p> </p><p>The Government also recognises the challenges the aviation sector is facing as it recovers from the impacts of Covid-19 and has supported the sector throughout the pandemic, and continues to do so, including schemes to raise capital, flexibilities with tax bills, and financial support for employees.</p> answering member constituency Saffron Walden answering member printed Kemi Badenoch grouped question UIN 102713 102714 question first answered 16/10/2020 09:10:13 answering member 4597 label Biography information for Kemi Badenoch
tabling member	1546 label Biography information for Angus Brendan MacNeil

1243094

registered interest
date	13/10/2020
answering body	Treasury
answering dept id	14
answering dept short name	Treasury
answering dept sort name	Treasury
hansard heading	Duty Free Allowances: Scotland
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Chancellor of the Exchequer, with reference to the Government’s decision to withdraw tax-free shopping for international visitors from 1 January 2021, what the total value of tax-free spend was in (a) Edinburgh and (b) Glasgow in 2019.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	102713
answer	answer is ministerial correction date of answer 16/10/2020 answer text <p>Ahead of the end of the transition period, the Government has announced the VAT and excise duty treatment of goods purchased by individuals for personal use and carried in their luggage arriving from or going overseas (passengers). The following rules will apply from 1 January 2021:</p><p>- Passengers travelling from Great Britain to any destination outside the United Kingdom (UK) will be able to purchase duty-free excise goods once they have passed security controls at ports, airports, and international rail stations.</p><p>- Personal allowances will apply to passengers entering Great Britain from a destination outside of the UK, with alcohol allowances significantly increased.</p><p>- The VAT Retail Export Scheme (RES) in Great Britain will not be extended to EU residents and will be withdrawn for all passengers.</p><p>- The concessionary treatment on tax-free sales for non-excise goods will be removed across the UK.</p><p> </p><p>The Government published a consultation which ran from 11 March to 20 May. During this time the Government held a number of virtual meetings with stakeholders to hear their views and received 73 responses to the consultation. The Government is also continueing to meet and discuss with stakeholders following the announcement of these policies.</p><p> </p><p>The detailed rationale for these changes are included in the written ministerial statement and summary of responses to the recent consultation: <a href="https://questions-statements.parliament.uk/written-statements/detail/2020-09-11/hcws448" target="_blank">https://questions-statements.parliament.uk/written-statements/detail/2020-09-11/hcws448</a> and <a href="https://www.gov.uk/government/consultations/a-consultation-on-duty-free-and-tax-free-goods-carried-by-passengers" target="_blank">https://www.gov.uk/government/consultations/a-consultation-on-duty-free-and-tax-free-goods-carried-by-passengers</a>.</p><p> </p><p>HMRC estimate that VAT RES refunds cost around £0.5 billion in VAT in 2019 for around 1.2 million non-EU visitors. In 2019 the ONS estimate there were substantially more EU visitors (24.8 million) than non-EU passengers (16.0 million) to the UK. This implies an extension to EU residents would significantly increase the cost by up to an estimated £0.9 billion. This would result in a large amount of deadweight loss by subsidising spending from EU visitors which already happens without a refund mechanism in place, potentially taking the total cost up to around £1.4 billion per annum.</p><p> </p><p>The concessionary treatment on tax-free sales currently affects airports that fly to non-EU destinations. The extension of duty-free sales to EU bound passengers will be a significant boost to all airports in England, Scotland and Wales, including Edinburgh and Glasgow and smaller regional airports which have not been able to offer duty-free to the EU before.</p><p> </p><p>HMRC estimate that around £150 million of VAT is not charged as a result of tax-free airside sales. As with the VAT RES, extending the relief to the EU would significantly increase the cost of the scheme and result in a large amount of deadweight loss by subsidising spending from EU-bound passengers which already happens.</p><p> </p><p>The final costings will be subject to scrutiny by the independent Office for Budget Responsibility and will be set out at the next forecast.</p><p> </p><p>The Government also recognises the challenges the aviation sector is facing as it recovers from the impacts of Covid-19 and has supported the sector throughout the pandemic, and continues to do so, including schemes to raise capital, flexibilities with tax bills, and financial support for employees.</p> answering member constituency Saffron Walden answering member printed Kemi Badenoch grouped question UIN 102712 102714 question first answered 16/10/2020 09:10:13 answering member 4597 label Biography information for Kemi Badenoch
tabling member	1546 label Biography information for Angus Brendan MacNeil

1243097

registered interest
date	13/10/2020
answering body	Treasury
answering dept id	14
answering dept short name	Treasury
answering dept sort name	Treasury
hansard heading	Duty Free Allowances: Scotland
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Chancellor of the Exchequer, what assessment he has made of the effect on (a) long-haul air travel demand and (b) and long-haul connectivity at Scottish airports of the cessation of tax-free shopping for passengers from 1 January 2021.
tabling member constituency	Na h-Eileanan an Iar
tabling member printed	Angus Brendan MacNeil
uin	102714
answer	answer is ministerial correction date of answer 16/10/2020 answer text <p>Ahead of the end of the transition period, the Government has announced the VAT and excise duty treatment of goods purchased by individuals for personal use and carried in their luggage arriving from or going overseas (passengers). The following rules will apply from 1 January 2021:</p><p>- Passengers travelling from Great Britain to any destination outside the United Kingdom (UK) will be able to purchase duty-free excise goods once they have passed security controls at ports, airports, and international rail stations.</p><p>- Personal allowances will apply to passengers entering Great Britain from a destination outside of the UK, with alcohol allowances significantly increased.</p><p>- The VAT Retail Export Scheme (RES) in Great Britain will not be extended to EU residents and will be withdrawn for all passengers.</p><p>- The concessionary treatment on tax-free sales for non-excise goods will be removed across the UK.</p><p> </p><p>The Government published a consultation which ran from 11 March to 20 May. During this time the Government held a number of virtual meetings with stakeholders to hear their views and received 73 responses to the consultation. The Government is also continueing to meet and discuss with stakeholders following the announcement of these policies.</p><p> </p><p>The detailed rationale for these changes are included in the written ministerial statement and summary of responses to the recent consultation: <a href="https://questions-statements.parliament.uk/written-statements/detail/2020-09-11/hcws448" target="_blank">https://questions-statements.parliament.uk/written-statements/detail/2020-09-11/hcws448</a> and <a href="https://www.gov.uk/government/consultations/a-consultation-on-duty-free-and-tax-free-goods-carried-by-passengers" target="_blank">https://www.gov.uk/government/consultations/a-consultation-on-duty-free-and-tax-free-goods-carried-by-passengers</a>.</p><p> </p><p>HMRC estimate that VAT RES refunds cost around £0.5 billion in VAT in 2019 for around 1.2 million non-EU visitors. In 2019 the ONS estimate there were substantially more EU visitors (24.8 million) than non-EU passengers (16.0 million) to the UK. This implies an extension to EU residents would significantly increase the cost by up to an estimated £0.9 billion. This would result in a large amount of deadweight loss by subsidising spending from EU visitors which already happens without a refund mechanism in place, potentially taking the total cost up to around £1.4 billion per annum.</p><p> </p><p>The concessionary treatment on tax-free sales currently affects airports that fly to non-EU destinations. The extension of duty-free sales to EU bound passengers will be a significant boost to all airports in England, Scotland and Wales, including Edinburgh and Glasgow and smaller regional airports which have not been able to offer duty-free to the EU before.</p><p> </p><p>HMRC estimate that around £150 million of VAT is not charged as a result of tax-free airside sales. As with the VAT RES, extending the relief to the EU would significantly increase the cost of the scheme and result in a large amount of deadweight loss by subsidising spending from EU-bound passengers which already happens.</p><p> </p><p>The final costings will be subject to scrutiny by the independent Office for Budget Responsibility and will be set out at the next forecast.</p><p> </p><p>The Government also recognises the challenges the aviation sector is facing as it recovers from the impacts of Covid-19 and has supported the sector throughout the pandemic, and continues to do so, including schemes to raise capital, flexibilities with tax bills, and financial support for employees.</p> answering member constituency Saffron Walden answering member printed Kemi Badenoch grouped question UIN 102712 102713 question first answered 16/10/2020 09:10:13 answering member 4597 label Biography information for Kemi Badenoch
tabling member	1546 label Biography information for Angus Brendan MacNeil