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Written Answers to Questions

The following answers were received between Friday 19 December 2003 and Friday 2 January 2004

LEADER OF THE HOUSE

Sitting Hours

Mr. Ben Chapman: To ask the Leader of the House how many representations have been made to his Office which are (a) for and (b) against (i) the present sitting hours of the House and (ii) September sitting of the House. [145067]

Mr. Hain: Most of the representations I have received on these matters have been oral and informal, and have not been recorded by my Office. And many could not be simply categorised as entirely for or against the changes.

TREASURY

Banking Payments System

Brian Cotter: To ask the Chancellor of the Exchequer if he will give new powers to the Office of Fair Trading to enable it to address competition issues within the banking payments system; and if he will make a statement. [145255]

Ruth Kelly: The Government announced in the pre-Budget Report that the Office of Fair Trading will shortly take on an enhanced role in relation to payment systems for a period of four years. The Government will not legislate to give the OFT new statutory powers to carry out this enhanced role. However, the Government will review competition in the industry after a period of four years and legislate unless there has been significant improvement. Further details on these proposals will be announced by the OFT in due course.

Brian Cotter: To ask the Chancellor of the Exchequer on what evidence he has based his decision to adopt a non-legislative route to tackle competition issues within the banking payments system; and if he will make the evidence public. [145256]

Ruth Kelly: Since the publication of the Cruickshank report on Competition in UK Banking, the payments industry has made moves to address some of the competition concerns the report identified, in areas such as price transparency, wholesale pricing, access, and governance. In addition, in response to the findings of the Competition Commission report into SME banking, the OFT has negotiated agreements with the main clearing banks to improve conditions for competition and consumer choice in SME accounts. Finally, the OFT is currently investigating the interchange fee arrangements in the MasterCard credit and charge card schemes under the Competition Act 1998. The OFT will continue to use Competition Act powers where appropriate to address competition concerns in this sector.

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However, the Government recognises that problems remain and that an increased focus on competition in the industry would deliver significant benefits. It believes that the OFT could provide this focus and address the remaining concerns, in advance of any legislation. The Government therefore announced in the pre-Budget Report that the Office of Fair Trading will shortly take on an enhanced role in relation to payment systems for a period of four years. The Government will then review competition in the industry and legislate unless there has been significant improvement. Further details on these proposals will be announced by the OFT in due course.

Brian Cotter: To ask the Chancellor of the Exchequer what recent discussions he has had with (a) the banking industry and (b) small business organisations in relation to competition within the banking payments system. [145258]

Ruth Kelly: Ministers and officials regularly meet representatives from the banking industry and small business organisations and discuss a range of issues, including competition in payment systems.

Iraqi Money

Mr. Gordon Prentice: To ask the Chancellor of the Exchequer what steps are being taken to trace funds which may have been deposited in UK banks by members of the former Iraqi regime; and if he will make a statement. [145198]

Ruth Kelly: All financial institutions in the UK have been obliged to identify and freeze Iraqi funds since August 1990. The implementation of United Nations Security Council Resolution 1483, 22 May 2003, subsequently required that such funds be transferred to the Development Fund for Iraq, with serious penalties for non-compliance.

While active monitoring continues, this process is now largely complete. To date the UK has transferred £112 million to support the reconstruction effort in Iraq. If further such funds were identified, they would be immediately transferred to the DFI.

Income and Corporation Taxes Act

Brian Cotter: To ask the Chancellor of the Exchequer what measures have been used by the Inland Revenue to notify small businesses of their obligations under section 660A of the Income and Corporation Taxes Act 1988; and if he will make a statement. [145233]

Dawn Primarolo: The Inland Revenue's Trusts Settlements and Estates Manual is publicly available and contains some guidance on this. Further detailed guidance (with examples) of the interpretation and application of Section 660A Income and Corporation Taxes Act 1988 was published in Tax Bulletin 64 in April 2003 and was followed by further explanations and examples in November and December 2003. More guidance will be in the February edition of Tax Bulletin.

Brian Cotter: To ask the Chancellor of the Exchequer how much revenue has been raised under section 660A of the Income and Corporation Taxes Act 1988 in each of the past six years. [145234]

Dawn Primarolo: The information is not available.

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Brian Cotter: To ask the Chancellor of the Exchequer if he will make a statement on the impact that backdating payments under section 660A of the Income and Corporation Taxes Act 1988 will have on small businesses. [145235]

Dawn Primarolo: Section 660A Income and Corporation Taxes Act 1988 applies to individuals. By paying tax under this section for earlier years individuals are simply paying the tax that would have been due if they had not sought to avoid tax.

Brian Cotter: To ask the Chancellor of the Exchequer how many inquiries the Inland Revenue has received from small businesses in regard to section 660A of the Income and Corporation Taxes Act 1988. [145236]

Dawn Primarolo: The information is not available.

Brian Cotter: To ask the Chancellor of the Exchequer how many companies have (a) been investigated for possible contraventions of section 660A of the Income and Corporation Taxes Act 1988 and (b) had action taken against them as a result in each year that the Act has been in operation. [145238]

Dawn Primarolo: None. Section 660A Income and Corporation Taxes Act 1988 applies to individuals not companies.

Brian Cotter: To ask the Chancellor of the Exchequer what recent information has been made available to small businesses about how section 660A of the Income and Corporation Taxes Act 1988 will be applied; and if he will make a statement. [145239]

National Statistics

Dr. Cable: To ask the Chancellor of the Exchequer if he will list the (a) names of, (b) positions of and (c) length of pre-release access for Office for National Statistics staff, excluding those who have pre-release access to the retail sales first release and the associated briefing under the (i) pre-release access arrangements and (ii) Macro-Economic Statistic Service Level Agreement. [143374]

Ruth Kelly: The information requested falls within the responsibility of the National Statistician, who has been asked to reply.

Letter from Len Cook to Dr. Vincent Cable, dated 23 December 2003:

As National Statistician I have been asked to reply to your recent Parliamentary Question concerning the list of (a) names, (b) positions and (c) length of pre-release access for Office of National Statistics (ONS) staff, excluding those who have pre-release access to the retail sales first release and the associated briefing under the (i) pre-release access arrangements and (ii) Macro-Economic Statistic Service Level Agreement. (143374)

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Pre-release access to official statistics is tightly controlled and, in the normal course of events, restricted to those who are involved in the statistical production and dissemination process. A number of staff in the ONS will, in the course of their duties, have access to the results before their public release—be they collectors, compilers, IT staff, reprographics staff, publication staff, or myself and my senior colleagues. To compile the names, positions, and length of pre-release access for all these staff, and for each release, would incur disproportionate cost.

Access has not been provided to persons in the ONS outside the list above, except where explicitly provided for in the National Statistics code of practice, and the protocol for release of statistics.

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