Lord Sikka
Main Page: Lord Sikka (Labour - Life peer)Department Debates - View all Lord Sikka's debates with the HM Treasury
(2 days ago)
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Lord Livermore (Lab)
We have committed an average of £660 million each year on measures to do so. By the end of the Parliament, that will raise an additional £5.7 billion per year. That is quite a good cost-benefit ratio. Each Budget will report progress against that.
Lord Sikka (Lab)
My Lords, between 2010 and 2024, HMRC failed to collect around £500 billion of tax. I therefore welcome the additional investment, but I am really concerned about the trajectory. Page 95 of the spending review shows that the HMRC budget for 2025-26 is to be £6.8 billion, rising to £7.3 billion for 2026-27. After that, there is a real-terms cut: the budget will be £7.1 billion for 2027-28, and £6.9 billion for 2028-29. Does the Minister agree that a real cut to the HMRC budget is not conducive to a sustained fight against organised tax avoidance?
Lord Livermore (Lab)
What is conducive is the most ambitious package ever to close the tax gap, raising £6.5 billion in additional tax revenue per year by 2029-30 and an additional £1 billion as a result of the measures in the Spring Statement. The spending review fully funded HMRC to deliver on those commitments.