HMRC cuts to impact duty fraud fight

15 October, 2010

Government cuts could scupper HM Revenue & Customs’ work in tackling duty fraud, the Federation of Wholesale Distributors has warned.

FWD chief executive James Bielby has written to the Treasury expressing concern that the government spending review and proposed staffing reductions at HMRC could have a knock-on impact on the battle against duty fraud.

Bielby said: “From our discussions with HMRC and anecdotal reports from wholesalers, it is evident HMRC investigation officers are stretched to their full capacity.

“Given this, any reduction in funding or staffing levels in this area is likely to be counter-productive. It will have a significant and negative impact on the ability of the department to combat fraud and collect significant sums of money for the UK Treasury.”

Analysis, page 14

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