Political update: April 2025

Finance Bill 2024-25 (now Finance Act 2025) concluded its passage through the Commons in early March. The government sprung 57 amendments to the non-dom proposals on MPs at report stage, publishing them just six days before they were debated. CIOT leapt into action, providing MPs with a comprehensive briefing just three days later. We welcomed some of the amendments, which reflected changes we had called for, but expressed concern about whether others would achieve the government’s apparent intentions.

Conservative and Lib Dem shadow ministers drew on our briefing in their remarks. The Shadow Exchequer Secretary, James Wild, cited CIOT’s warning that the amended proposals still leave uncertainty, ‘which will be counterproductive if it is the government’s intention to encourage those people to stay and to allay the concerns of those looking to invest in the UK’.

Daisy Cooper, for the Lib Dems, noted CIOT’s call for a proper consultation, our warning that uncertainty has been introduced and comments ‘that the drafting of some amendments may inadvertently achieve the opposite of what the government seek’. She encouraged the minister to meet with the CIOT and ‘heed its warnings to ensure that measures are properly drafted’. Sadly, in a hurried response, the minister did not respond to these concerns.

ATT, CIOT and LITRG representatives attended a roundtable with the Exchequer Secretary, James Murray, in February to discuss our experiences of the tax administration system, the policy making process and potential areas of simplification. ATT made suggestions for simplification of employee expenses. CIOT highlighted previous work on simplification and shared a letter sent to the minister’s predecessor. LITRG highlighted concerns about the differences between law and guidance in respect of savings interest.

CIOT met the minister again later in the month, alongside ICAEW, to discuss our December report on HMRC customer service. Discussion was constructive with a shared desire to work collaboratively going forward.