Question to the HM Treasury:

To ask the Chancellor of the Exchequer, at what level was the decision made to remove the PAYE checks after the Child Benefit compliance pilot.

As HMRC’s First Permanent Secretary explained to the Treasury Select Committee on 13 January, the PAYE check was removed to streamline the process at an operational level, with a view to employment status being tested as part of any subsequent customer enquiry.

The Department has apologised for removing the PAYE check and the impact on some of its customers of this change.

HMRC has taken swift action to reinstate the check, put things right for affected customers and make further improvements to the process. Lessons learned for the future include strengthening the governance from pilots to business as usual activities.