MPs demand a list of furlough firms to prevent fraud

MPs have called on the government to publish a list of companies, including estate agencies, using the furlough scheme, amid concerns of fraud.

The Commons Public Accounts Committee (PAC) says in a report that HM Revenue & Customs should publish a list of all businesses that have used the coronavirus job retention scheme, and outline plans to recover furlough cash from companies that have done well despite the pandemic.

PAC expressed concerns relating to what it described as “opportunistic fraud”, which is where furloughed workers continue working while their bosses claim the grant. It is estimated that this could be happening in up to 34% of cases.

The committee wants the scale of losses released by the end of January, rather than the end of next year, as currently planned.

Committee chair Meg Hillier said: “With the Treasury claiming it can’t give even a ballpark figure for the cost of COVID job support until the end of next year, public scrutiny of where taxpayers’ money is going is essential.”

Hillier added: “Many workers including freelancers and entrepreneurs have not had a penny and are really struggling as they continue to fall through the gaps.”

The furlough schemes have so far cost over £55bn but they have now been extended until the end of April next year.

PAC said: “HM Treasury and HMRC should investigate whether more data within and outside of the tax system could be used to determine eligibility for currently excluded groups and write to the committee within six weeks to explain their findings.”

x

Email the story to a friend



One Comment

  1. Industrycommentator

    Going to be a lot of business owners, in particular the large corporates not wanting to see a list published. A few of the ‘big boys’ have already made voluntary paybacks to HMRC but for some it will be too late as staff start to whistleblow. Competitors will report those who are known to have broken the rules and in the digital age it is virtually impossible to cover the tracks of CRM usage, emails, calls, online activity etc etc. I would suggest to HMRC that they offer a period of amnesty whereby businesses can pack back any incorrectly claimed monies ahead of investigations.

    Report
X

You must be logged in to report this comment!

Comments are closed.

Thank you for signing up to our newsletter, we have sent you an email asking you to confirm your subscription. Additionally if you would like to create a free EYE account which allows you to comment on news stories and manage your email subscriptions please enter a password below.