HMRC Office Closures Debate

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Department: HM Treasury

HMRC Office Closures

Greg Mulholland Excerpts
Tuesday 24th November 2015

(9 years, 1 month ago)

Commons Chamber
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Greg Mulholland Portrait Greg Mulholland (Leeds North West) (LD)
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It is clear today that the Government have simply failed to make the case for these changes. They have failed to make the case in Scotland, Northern Ireland, Wales and England. Here, there are just a few loyal, new Tory MPs keen to curry favour by saying what a wonderful thing the proposal is, alongside some hard-working constituency MPs who have talked about the damage that it will do to their constituency—all credit to them for doing so.

More importantly, the Government have not made the case for these changes to the 8,000 staff who will lose their jobs and their livelihoods, or to the many businesses, particularly the small and medium-sized enterprises that are the so-called lifeblood of our economy, that are deeply concerned about the changes. The Government have not even made the case to the chartered accountants who deal with the tax offices and do such a good job to ensure that tax affairs are in order.

HMRC has failed to provide an acceptable service level to customers. We know that from the Public Accounts Committee report earlier this year, which pointed out that it takes an average of 14 minutes and 22 seconds to answer a call. We should think about what that means to a hard-working chartered accountant or a small business. Sometimes these people have a great need for advice about the future of their business. How can the Government possibly argue that cutting 8,000 jobs will make this poor performance, which is already not good enough, any better?

One Conservative Member said that there are many things that humans cannot do, but if we speak to these small businesses and chartered accountants, we find that what they think is lacking is the ability to talk to people when they need advice because they are not sure of something. Things are already not good enough, so getting rid of more people with local knowledge who are able to assist and advise is simply madness. In this case, humans are essential, and it is short-sighted thinking to deny it.

My constituent Stephen Oliver, a chartered accountant, is one such person who has advised people in my constituency. He has been telling me for years about the inadequacies of dealing with the tax office. He is one of the many people who are deeply concerned that these changes will make the situation worse. There is widespread opposition from the accountancy sector—surely something that this Government should take seriously, but currently do not. These entrepreneurs and SMEs are people who not only contribute to the economy, but want to stay on the right side of the law. They want to fulfil their tax obligations and contribute to society. Can Ministers confirm that they have done an analysis of the cost to the economy? There will be such a cost arising from lost productivity as a result of the increases in the time taken to answer the phone.

Finally, in the limited time available, let me say that in response to my written questions on how many staff will be reassigned from individual offices to regional centres, Ministers have confirmed that that has not yet been finalised. In my constituency, Peter Bennett house in West Park is being closed, which is regrettable for the employees. Will Ministers confirm that this move will be planned in such a way that it will have the least impact on staff and their families? That is something that they have not yet done. As right hon. and hon. Members have said, the Government have not made the case in any of the four nations. They really should think again and properly consult all those affected.