Union anger over HMRC job cuts

Confirmation that HM Revenue and Customs is to close 130 offices has met with condemnation from union officials, who say unclaimed tax has almost doubled since the department started shredding jobs

Public, Wednesday 13 January 2010 15.34 GMT

The PCS union has reacted angrily to today's confirmation HM Revenue and Customs (HMRC) that it is pressing ahead with plans to close 130 offices.

Confirmation of the closures across the UK could see up to 1,700 staff lose their jobs. The closures are part of HMRC's plans to cut 25,000 jobs and close more than 200 offices by 2011.

The union said the closures would severely reduce tax advice and support to the public and businesses, as well as undermining the ability of the department to collect tax revenue.

Mark Serwotka, general secretary of the PCS, said it was "no coincidence" that as staff at HMRC have been cut, the amount of uncollected tax has risen. HMRC has cut more than 20,000 jobs since 2006 and the union says that the percentage of uncollected tax written off as "doubtful to be collected" has risen from 23% in 2006 to 40% in 2009.

He said closing offices and cutting jobs made no economic sense and would "do nothing" to help the country towards economic recovery.

The largest office set to close is in Accrington, where 81 jobs will be cut, according to the union.

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thorens

16 Jan 2010, 9:23AM

Yes another own goal by the Government. The closure of these 130 offices will leave communities without essential HMRC services. Need a Tax Credit emergency payment-thats a laugh!!And 1700 jobs lost is the start of the 25000 cuts required
Closure in communities such as Isle of Wight are interesting- no formal HMRC presence will inevitably lead to higher economic crimes being left undetected.
The £billions paid to the IT consultants within the HMRC IT contract for a service that is barely fit for purpose.HMRC announced £170 million savings yet one wonders if they really looked hard at their IT costs could not the amount edged toward £500 million??
In short why reduce the HMRC workforce by a further 25000 at a time when evasion is on the increase-the tax gap and hidden economy a rising higher and higher and the tax hit on the bankers is a naive populist approach to managing the economy.
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