This was a third reading on the Finance (No. 2) Bill. The Finance (No. 2) Bill is a broad package of government finance and tax measures, including anti-avoidance reforms, new HMRC powers and penalties, rules affecting advisers and promoters, and various excise and tax changes. It has been heavily debated in Parliament, with Labour-led amendments aimed at tightening definitions and adding safeguards, while opponents sought to narrow or slow reforms. The bill has progressed through the Commons with changes and is now before the Lords for final consideration at its 3rd reading.
•Strengthened anti-avoidance regime and enforcement powers, including proposed new sanctions on advisers and the ability to publish penalties, designed to curb aggressive tax planning and promoter activity.
•Expanded liability and information-sharing rules, notably powers for HMRC to determine PAYE and measures extending joint/connected liability for promoters and introducers, subject to specific safeguards being debated in Committee.
•Focus on advisers and promoters: significant discussion around registering tax advisers, widening sanctionable-conduct rules, and balancing enforcement with protections such as reasonable-care defences, representation rights, and publication safeguards to avoid chilling legitimate professional advice.
•Policy tensions around tax/tobacco regimes and implementation: debates over vaping duties versus a proposed punitive tobacco duty increase, plus calls for robust enforcement against illegal tobacco and for inflation-linked uprating of certain charges, where applicable.
The Commons approved the Finance (No. 2) Bill at its Third Reading by 292 votes to 161. The measure includes revenue-raising and anti-avoidance provisions, expanded HMRC powers, PAYE and payroll rule changes, and a suite of technical tax provisions. MPs debated amendments on umbrella payroll liability, disclosure and penalties, and safeguards for advisers, with some changes accepted in Committee while others were defeated; the bill now proceeds to the Lords for scrutiny.
Bill clears Commons to move to LordsAmendments debated on payroll liability and adviser safeguardsNew clause would notify taxpayers affected by frozen thresholdsFocus on transparency and enforcement in tax rules
AI-generated context — may contain errors.
Turnout by party
70%
Ulster Unionist Party
1/1 (100%)
Traditional Unionist Voice
1/1 (100%)
Restore Britain
1/1 (100%)
Reform UK
7/8 (88%)
Conservative
92/114 (81%)
Green Party
4/5 (80%)
Liberal Democrat
52/72 (72%)
Labour (Co-op)
282/401 (70%)
What happens next?
The bill has passed this House and will move to the other House for consideration.
