Tax Avoidance and Multinational Companies

Lindsay Hoyle Excerpts

Wednesday 3rd February 2016 Commons Chamber

[Mr Bacon]

The Public Accounts Committee found that HMRC as a whole had only 65 specialists in transfer pricing, which was about the same as each of the big four accounting firms. Does the hon. Gentleman welcome this Government’s introduction of more transfer pricing specialists in HMRC?

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. May I say to hon. Members who wish to speak but are now making interventions that I assume they will not mind if they go to the bottom of the list because they have almost used up their time?

[Roger Mullin]

I thank the hon. Gentleman for his intervention, because I must admit I was not aware that only 65 staff were involved in transfer pricing. That seems to me to be remarkably few, given the challenges they face. I would welcome anything that can be done to strengthen their numbers.

Times have changed. Back in the 1970s, it was never envisaged that huge multinational corporations could quickly arise as a result of operating in the world of the internet. The tax system, which has been built up over many years—as the hon. Member for Warrington South (David Mowat) mentioned, part of it dates from the 1920s or thereabouts—is singularly unable to deal with some of the types of international corporations, such as Facebook and Google, that there are today.

The world has changed fast in other regards. I am old enough to remember being able to go into a café and just ask for a coffee.

--- Later in debate ---

[Anna Turley]

I appreciate—

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. The clock is on zero. I think it would be unfair to allow the hon. Gentleman to give way.