Oral Answers to Questions

Florence Eshalomi Excerpts

Thursday 16th March 2023 Commons Chamber

[Mr Speaker]

I call the shadow Minister.

[Florence Eshalomi (Vauxhall) (Lab/Co-op)]

In November, it was revealed in The Guardian that the company Infosys was still operating in Russia, eight months after it announced that it would withdraw. Just a month later, that company was awarded a lucrative contract worth £1.7 million of taxpayers’ money. Was the Minister aware of that when that contract was awarded, and do the Government believe that public money should be going to those who are operating in Russia?

[Jeremy Quin]

We set out in policy procurement note 01/22 our approach to public procurement and links with Russia. That PPN speaks for itself, and I am sure the hon. Lady is familiar with it. It requires contracting authorities to check from whom they are receiving goods and services. It is primarily aimed at those who are Russia or Belarus-based, or who have significant control. I do not know the particulars of the circumstances that she mentions, but the Government’s approach through PPN 01/22 is very clear.

--- Later in debate ---

[Mr Speaker]

I call the shadow Minister.

[Florence Eshalomi (Vauxhall) (Lab/Co-op)]

The Fair Tax Foundation revealed that between 2014 and 2019, one in six public contracts were won by businesses connected to tax havens. That means that billions of pounds of taxpayers’ money is going towards those who try to avoid paying tax. It is fair that the public have a right to know how their money is spent, so will the Secretary of State support Labour’s measures to increase tax transparency in our procurement system?

[Oliver Dowden]

We already have high levels of transparency, and the Procurement Bill is going through Parliament. The most important thing is to crack down on tax avoidance through tax havens, which is what we saw in yesterday’s Budget and what we have seen previous ones—for example, by addressing the double Irish issue.