Cornish MPs call on Government to reassess plans for HMRC closures

3.00.00pm GMT Tue 4th Dec 2007

Cornwall's Five Liberal Democrat MPs have tabled a parliamentary motion calling for the Government to reassess its proposals threatening HMRC offices with closure, in the light of the recent catastrophic failures at HMRC.

The Early Day Motion, which was tabled today, says that the closure of HMRC offices will have an adverse impact on local communities and vulnerable individuals, as well as undermining the work which HMRC has done to reduce fraud in recent years. With the service already at breaking point, any further cuts in staffing will put even greater pressure on overstretched staff, and risk fraud going undetected.

Cornish MPs say that HMRC office closures and job cuts would be a false economy, with the HMRC set to lose out on millions of pounds of revenue if fraud detection work is cut. They add that it is entirely inappropriate for the government to make further cuts to a service which is already unable to cope.

As part of the campaign against the proposed closures, Cornish Liberal Democrat MPs have set up an online petition, which can be found at http://ourcampaign.org.uk/savecornishtaxoffice

Commenting, Julia Goldsworthy MP said:

"Despite it being absolutely clear that HMRC is at breaking point, the Government have yet to guarantee that there will be no compulsory redundancies or office closures in HMRC offices in Cornwall. It is unthinkable that, at a time when HMRC is facing serious problems, the Government should consider cutting back services in this area, especially given the additional security checks and Child Benefit enquiries which will ensue from this debacle.

Dan Rogerson MP added:

"The government is engaged in a programme of closures that will prove a false economy. Local tax offices have an excellent record of detecting those who attempt to defraud the tax system, and of helping local businesses to get their returns right. Those benefits will be lost if the offices close. As if it were not enough for the government's plans hit the hardworking public servants who work in local tax offices and the communities in which they are based, they will also deprive the public purse by reducing the amount of tax collected. After the crisis at HMRC, and the resignation of its top official, it's time for a serious rethink of these flawed proposals.

Andrew George MP added:

"The Government has yet to prove that these cuts will result in savings. Cutting back on the amount of people and resources dedicated to reducing tax fraud and avoidance could well end up costing them. It is time they looked again at these plans.