Oral Answers to Questions Debate

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Department: HM Treasury

Oral Answers to Questions

Nick Smith Excerpts
Tuesday 4th November 2014

(10 years, 1 month ago)

Commons Chamber
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David Gauke Portrait Mr Gauke
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I am sure that the Chancellor can explain that, but as I am already at the Dispatch Box, I will answer the question. The UK has very much led the way in the OECD base erosion and profit shifting process, ensuring that the international tax system is fit for purpose. We have made good progress on that, but there is still work to do.

Nick Smith Portrait Nick Smith (Blaenau Gwent) (Lab)
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18. Does the Minister think that there is any link between the deep cuts to HMRC staff, particularly in Cardiff, and the uncollected tax that is rising under this Government?

David Gauke Portrait Mr Gauke
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As I say, what has happened under this Government is that the yield brought in by HMRC has increased year after year. The tax gap is lower for 2012-13 than it was in any year under the previous Labour Government. In truth, the record of HMRC is one of getting more from less, but we have invested in the areas that bring in money on tax avoidance and tax evasion.