The Government has been warned by a cross-party group of MPs that a “deeply worrying” number of people facing the loan charge are expressing suicidal thoughts.

The All-Party Parliamentary Loan Charge & Taxpayer Fairness Group (APPG) has written to Lucy Frazer, Financial Secretary to the Treasury, outlining their concerns about the “draconian” loan charge and calling for an open meeting where officials can be questioned about the policy.

The letter, which has been signed by the MPs Sammy Wilson, Greg Smith and Mohammad Yasin, invites Ms Frazer to attend a two-hour open question and answer session with the APPG about the loan charge.

The loan charge was designed to tackle tax avoidance schemes where individuals receive income in the form of loans that are not repaid to avoid income tax. The Government announced a review in 2019 after the policy left thousands of people on modest incomes with large and unexpected tax bills.

The All-Party Parliamentary Loan Charge & Taxpayer Fairness Group (APPG) has written to Lucy Frazer, Financial Secretary to the Treasury, outlining their concerns about the “draconian” loan charge and calling for an open meeting where officials can be questioned about the policy.

'Deeply worrying' number of people facing loan charge have expressed suicidal thoughts, MPs tell Government