Latest news with #JamesMurray


Auto Car
2 days ago
- Automotive
- Auto Car
CO2 tax rules for PHEVs are about to get tougher in the EU - but it's good news for UK drivers...
Plug-in hybrids sold in the UK could avoid planned changes across Europe to how CO2 figures are calculated in a bid to keep their appeal to fleet buyers. Under the changes, t he European Commission's latest Euro 6e-bis emission standard will assume a lower share of a PHEV's electric-only mileage, resulting in a more representative (and higher) CO2 figure. This would result in tax hikes and therefore a loss of the benefit-in-kind incentive that has driven the powertrain's popularity among fleet buyers. However, the UK has revealed 'easement' plans to continue encouraging the take-up of lower-carbon vehicles. What are the EU's changes? The European Commission's latest Euro 6e-bis emission standard was introduced in January 2025 for new vehicle launches, and manufacturers have until the end of the year to retest their entire model range. Although the focus is pollutant emissions, the new standard includes an adjusted 'utility factor' for PHEVs that assumes a lower share of that vehicle's mileage is driven on battery power, offering a more representative CO2 figure. It follows a study of real-world data showing PHEVs emit three and a half times more CO2 on the road than during the official test cycle. In December 2022, the International Council for Clean Transportation (ICCT) warned that Euro 6e could raise a 45g/km PHEV's CO2 emissions rating to 96g/km, then 122g/km when the second adjustment is applied in 2027. That's without any mechanical changes to the vehicle. Although Euro 6e compliance isn't mandatory in post-Brexit UK (excluding Northern Ireland), vehicles engineered or retested for other markets would be imported with figures derived from the new test. This could hurt manufacturers' ability to meet average CO2 targets (and earn credits that can be counted as zero-emission vehicle sales) and have tax implications for CO2-incentivised fleets, which account for more than 80% of new PHEVs. Cars emitting 50g/km CO2 or less qualify for low company car tax bands and more generous relief from corporation tax. Businesses can offset 100% of lease costs, or 18% of the purchase cost, against their pre-tax profits. Those rates fall to 85% and 6% respectively above that threshold. What is the UK planning? In a statement, Treasury secretary James Murray confirmed plans for a two-year 'easement' from April 2026, enabling manufacturers to publish CO2 figures based on the outgoing Euro 6d standard – a proposal originally put forward as part of the ZEV mandate consultation last December.


Sky News
4 days ago
- Politics
- Sky News
UK 'committed' to recognising Palestine as state, says minister - but refuses to give timeline
The UK is "committed" to recognising the state of Palestine, a minister has said - while refusing to give a timeline for when it might happen. James Murray, the exchequer secretary to the Treasury, said any move to recognise the state of Palestine would have to be "part of a pathway to peace". It comes as Sir Keir Starmer is coming under growing pressure from his MPs to make the diplomatic move after images of starving children emerged from Gaza, prompting an intervention from Live Aid organiser Bob Geldof, who called the situation a "disgrace". Emmanuel Macron, the French president, has already stated he will recognise a Palestinian state at the UN general assembly in September. Israel has condemned the proposal, with Israeli Prime Minister Benjamin Netanyahu saying it "rewards terror and risks creating another Iranian proxy, just as Gaza became". Appearing on Sunday Morning with Trevor Phillips, Mr Murray said Sir Keir had made the question of Palestinian statehood "absolutely clear". 13:22 "It's not a question of if, what we now need to focus on is how do we make Palestinian statehood a reality," he said. However, he said the move should only be taken to "galvanise change". "As a government, we're committed to the recognition of Palestine, but we need to work with international partners and we need to use that moment to galvanise change. "It needs to be part of a pathway to peace. "140 countries have already recognised Palestine. The suffering is still continuing." Mr Murray also confirmed that Sir Keir will raise the issue of Gaza when he meets Donald Trump in Scotland on Monday for talks on the US president's golf course in Turnberry. The prime minister is under pressure to act on Palestine after 221 MPs signed a cross-party letter demanding he take the step. The letter, organised by Sarah Champion, the Labour MP for Rotherham and the chair of parliament's International Development Committee, read: "British recognition of Palestine would be particularly powerful given its role as the author of the Balfour Declaration and the former mandatory power in Palestine. "Since 1980 we have backed a two-state solution. Such a recognition would give that position substance as well as living up to a historic responsibility we have to the people under that Mandate." Separately, the prime minister is also facing the prospect of a showdown in parliament over the issue, after the SNP said it would try to force the government into recognising Palestine as a state via a bill when the Commons returns from the summer recess. On Friday, Sir Keir released a statement on Gaza, calling the "appalling scenes" in the enclave "unrelenting". "Recognition of a Palestinian state has to be one of those steps," he said. "I am unequivocal about that. But it must be part of a wider plan which ultimately results in a two-state solution and lasting security for Palestinians and Israelis." 11:30 Israel has denied there is a food shortage in Gaza, despite more than 100 aid agencies warning of mass starvation in Gaza earlier this week. The Israeli government claims it had to take control of the supply and distribution of aid because Hamas fighters had been stealing aid before it reached civilians, which Hamas denies. On Friday, Israel began allowing foreign countries to drop aid into Gaza, which the UK is partaking in. Mr Geldof, who spoke to Sunday Morning with Trevor Phillips, said he believed the Israeli government was "lying" after a spokesperson claimed there was "no famine caused by Israel". "They're lying," Mr Geldof said. "[Benjamin] Netanyahu lies, is a liar. The IDF are lying. They're dangling food in front of starving, panicked, exhausted mothers. "And while they arrive to accept the tiny amount of food that this sort of set up pantomime outfit, the Gaza Humanitarian Front, I would call it, as they dangle it, then they're shot wantonly. "This month, up to now, 1,000 children or 1,000 people have died of starvation. I'm really not interested in what either of these sides are saying." Despite the "heartbreaking" images, Tory leader Kemi Badenoch said pictures of children starving in Gaza had not made her question her support for Israel. She told Trevor Phillips: "What I'm seeing is Israel allowing humanitarian aid to go in. And this has been an unbelievably difficult situation. It's been heartbreaking seeing some of the pictures, hearing those stories and what we all want to see is this coming to an end. And that will happen when the hostages are released. We need a ceasefire."


Daily Record
24-07-2025
- Business
- Daily Record
New online Pay As You Earn service helps people take control of tax affairs
The service will make it simpler and easier to check and update their income, allowances, reliefs and expenses. Lanarkshire workers can take control of their tax affairs as the government announced a new online Pay As You Earn (PAYE) service as HM Revenue and Customs (HMRC) sets out more than 50 measures to transform the UK's tax and customs system. The service for all PAYE taxpayers will make it simpler and easier to check and update their income, allowances, reliefs and expenses, and will be available via their Personal Tax Account or through the HMRC app. This service forms part of HMRC's Transformation Roadmap that sets out ambitious plans to become a digital first organisation by 2030, with 90 per cent of customer interactions taking place digitally. The roadmap sets out more than 50 IT projects, services and measures that, once delivered, will transform the UK's tax and customs systems, simplifying processes and making it easier to pay the tax that funds public services and deliver the government's Plan for Change. The plans to modernise the tax and customs system, introduce new AI technologies and work with third parties and intermediaries will make it easier for taxpayers, businesses and intermediaries to interact with HMRC. The digital first approach will see HMRC automating tax wherever possible and offering new digital self-serve options across a number of tax regimes. Alongside the new PAYE service, HMRC will save £50 million a year by moving customer letters and reminders to a digital first approach, reducing the reliance on paper correspondence, by the 2028 to 2029 tax year. Paper post provision will remain for critical correspondence and for the digitally excluded. Increasing the use and investment in AI will enable customers to meet their tax obligations and allow HMRC to monitor the tax system in near real time. HMRC plans to introduce AI in work areas including: HMRC advisers and caseworkers: using AI capability to automate call summaries and the use of internal GenAI Chat Assistants to support them in their work. Digital assistants: developing new AI-powered features to help customers easily navigate HMRC services and improve the ability to update HMRC's content and guidance on Compliance: delivering an automatic document identifier system for HMRC caseworkers to identify fraudulent documents during compliance activities by using a biometric likeness-liveness check. James Murray MP, Exchequer Secretary to the Treasury, said: "We are going further and faster to make HMRC fit for the 21st century, including delivering a simpler and easier system for all PAYE workers. "By 2030, taxpayers can expect a modern and innovative HMRC with cutting-edge AI, industry-leading customer service practices, and a laser focus on delivering taxpayer value for money by ensuring everyone pays their fair share."


Daily Mirror
23-07-2025
- Business
- Daily Mirror
New HMRC service will allow workers to 'take control of their tax'
HMRC has launched a new digital service that will make it much easier for 35 million people to take control of their taxes and the movements of things such as their income and expenses Good news - workers are now able to take control of their tax affairs following the UK government's announcement of a new Pay As You Earn (PAYE) service. Affecting 35 million on PAYE, the new digital system boasts more than 50 new measures, aiming to streamline processes and even cut costs by £50 million through reducing postal correspondence. Available via their Personal Tax account or through the HMRC app, it will now make it 'simpler and easier' for all PAYE taxpayers to check and update their income, allowances, expenses and reliefs, the shared. The new service forms part of HMRC's Transformation Roadmap, which launched on July 21, 2025, with a mission to become a digital-first organisation by 2030 and make 90% of customer interactions digital. Setting up over 50 IT projects, services and measures, it will transform the UK's tax and customs systems, making it easier to pay the tax that is spent towards public services and deliver the UK Government's Plan for Change. Under the digital-first approach, HMRC will offer additional digital self-serving alternatives across various tax regimes and, wherever possible, automate tax. The new PAYE service will also allow the HMRC to save an annual amount of £50 million, equivalent to 1,500 full-time nurses. To do so, they will swap customer letters and reminders to a digital-first approach to minimise the use of paper correspondence by the 2028/2029 tax year. The news follows other plans to incorporate more AI into their services, ensuring all guidance and content is up to date, as well as assisting in identifying fraudulent documents during compliance checks. READ MORE: HMRC alert as 1 million taxpayers 'haven't claimed money they're owed' James Murray MP, exchequer secretary to the treasury, said: 'We are going further and faster to make HMRC fit for the 21st century, including delivering a simpler and easier system for all PAYE workers.' 'By 2030, taxpayers can expect a modern and innovative HMRC with cutting-edge AI, industry-leading customer service practices, and a laser focus on delivering taxpayer value for money by ensuring everyone pays their fair share,' he explained. JP Marks, HMRC's Chief Executive and First Permanent Secretary, also commented: 'The Government's ambition is for a simpler tax and customs system and this roadmap sets out how HMRC will deliver a first-class experience that feels different to their customers.' He added: 'By 2030, UK citizens will experience a tax administration system that is more automated, more focused on self-service, and better set up to get things right first time so they can fulfil their tax obligations.' Other elements in the Transformation Roadmap are currently in progress for further usage, such as expanding the SMS confirmation services to include complaints, Self Assessment appeals, and other PAYE services. Interestingly, in the 2023 to 2024 tax year, HMRC collected 94.7% of the total tax due. Later this year, they will share an update on modernising behavioural penalties.


Daily Mirror
22-07-2025
- Business
- Daily Mirror
HMRC launches new service in tax shake-up as Government announces 50 new measures
HMRC has launched a new digital service changing how 35 million people interact with the PAYE system HMRC has unveiled a major overhaul to the UK tax and customs system today, July 21, set to impact 35 million people on PAYE. The fresh digital system boasts over 50 new measures and aims to streamline processes whilst also cutting costs by £50million through reducing postal correspondence. Employees using Pay As You Earn will gain access to a digital service designed to make their tax affairs "simpler and easier", according to the revenue authority. It will be accessible through your personal tax account or via the HMRC app. The updated service will enable PAYE taxpayers to modify the following entirely online: Income Allowances Reliefs Expenses A further enhancement to the system is scheduled for later this year to "modernise behavioural penalties". The tax authority highlighted its intention to prevent those who fulfil their duties from being penalised by those who fail to comply. This represents just one of more than 50 fresh measures HMRC intends to roll out over the coming years to become a "digital first organisation" through their Transformation Roadmap. Additional measures encompass a Digital Disclosure Service enabling customers to rectify errors and digitalising the Inheritance Tax system. It encompasses shifting customer reminders and notifications online, delivering an estimated £50million in savings from postal costs. The authority also intends to integrate more AI into their operations. Specifically, the plan is to utilise AI to aid customers in navigating HMRC services more efficiently and ensure all guidance and content from the authority is current. This will also assist in identifying fraudulent documents during compliance checks. With all these measures implemented, it is anticipated that by 2030, at least 90% of HMRC's customer interactions will be digital. James Murray MP, Exchequer Secretary to the Treasury, stated: "We are going further and faster to make HMRC fit for the 21st century, including delivering a simpler and easier system for all PAYE workers. "By 2030, taxpayers can expect a modern and innovative HMRC with cutting-edge AI, industry-leading customer service practices, and a laser focus on delivering taxpayer value for money by ensuring everyone pays their fair share." JP Marks, HMRC's Chief Executive and First Permanent Secretary, commented: "The Government's ambition is for a simpler tax and customs system and this roadmap sets out how HMRC will deliver a first-class experience that feels different to their customers. "By 2030, UK citizens will experience a tax administration system that is more automated, more focused on self-service, and better set up to get things right first time so they can fulfil their tax obligations." Currently, work is in progress on other measures in the Transformation Roadmap. Such as extending the rollout of the SMS confirmation service to Self Assessment appeals, complaint cases and some PAYE services. A reward scheme is also being established to incentivise informants to expose serious non-compliance in large corporations, wealthy individuals, offshore and avoidance schemes. The new scheme will offer informants compensation tied to a percentage of any tax collected.