Tax Avoidance and Multinational Companies

Debate between John McDonnell and Mark Spencer

Wednesday 3rd February 2016 Commons Chamber

[John McDonnell]

I will give way in due course. Calm down.

The Google deal and the Chancellor’s exultation about it were immediately received with incredulity by independent tax analysts—understandably. The Chancellor and HMRC were all too keen to publicly parade the deal, but when challenged to release the detail of it, hid behind confidentiality conditions.

[Mark Spencer (Sherwood) (Con)]

What assessment does the shadow Chancellor make of the Labour Government, who were in charge of taxation during part of that period?

[John McDonnell]

I am grateful for the intervention. The hon. Gentleman probably knows that I was not the most enamoured of the Labour Government’s track record during that period, but it was a Labour Government who started this inquiry and the hon. Gentleman’s Government took six years to complete it. According to a recent estimate by the Financial Times, the measures introduced by the Labour Government will reap 10 times the amount of tax that this Government have secured.