The Queen’s Speech, outlining the government’s legislative plans for the new session of Parliament, will take place next Wednesday, and will provide the first indication of whether the previously proposed controversial changes to the tax regime will go ahead as planned
The state opening of Parliament was scheduled to take place on Monday, but has been delayed by prime minister Theresa May’s efforts to strike a deal with the Democratic Unionist Party (DUP) to back her minority government, after she failed to win an outright majority in the recent general election.
Traditionally the Queen’s Speech provides an outline of the government’s legislative priorities. When the election was called back in April, some legislation which was then making its way through parliament was curtailed to finish the parliamentary session and clear up business.
This included dropping clauses from the Finance Bill 2017 covering Making Tax Digital as well as a majority of other tax measures such as corporate loss relief, the money purchase annual allowance for pensions and penalties for enablers of tax avoidance schemes.
At the time Jane Ellison, who was then financial secretary to the Treasury but lost her seat in the election, said: 'The bill is progressing on the basis of consensus and therefore, at the request of the opposition, we are not proceeding with a number of clauses.
‘However, there has been no policy change. These provisions will make a significant contribution to the public finances, and the government will legislate for the remaining provisions at the earliest opportunity, at the start of the new Parliament.’
It remains to be seen how many of the original clauses will be reinstated, given that there is now a hung parliament. The Conservative government has yet to announce a formal agreement with the DUP but has said it is confident the party’s 10 MPs will agree to give their support.
Meanwhile, officials have confirmed that the first round of formal talks that will see Britain leave the EU will start on 19 June, following discussions in Brussels involving both sides.
In a joint statement, officials said: ‘Michel Barnier, the European Commission’s chief negotiator and David Davis, secretary of state for exiting the European Union, agreed today to launch Article 50 negotiations on Monday June 19.’
