Question to the HM Treasury:

To ask the Chancellor of the Exchequer, how many investigations HMRC has launched against firms using the Employment Allowance avoidance scheme referred to in the HMRC guidance of 29 June 2015.

Since issuing the guidance of 29 June 2015 HMRC has seen changes in the way the Employment Allowance has been abused. HMRC undertakes a wide range of targeted compliance interventions, including where appropriate referrals for criminal prosecution, to address any abuse of the Employment Allowance. In November 2016 HMRC formed the Employment Status and Intermediaries team which leads the operational response to issues such as the abusive use of the Employment Allowance by agencies and payroll companies.