The Work and Pensions Committee, that produced a scathing report on Concentrix, has stated that HMRC has accepted its recommendations.
As such HMRC will review up to 23,000 new cases of people who have had had their tax credits screwed up by Concentrix/HMRC.
In a report to MPs, the government disclosed that of 36,000 claimants who lodged an appeal against a ruling by Concentrix, 87% were upheld and have had their benefits reinstated.
The remaining 23,000 claimants who did not appeal will have their cases reviewed as well, the government has told the Work and Pensions Committee.
The BBC quotes a a statement to the committee from the government:
"HMRC will review those cases to establish that decisions made by Concentrix were properly made and communicated to claimants.Frank Field (Chairman) said:
Where absolutely necessary, we will re-contact the claimant to request further information relating to their claim. Current plans indicate that this activity could be completed by March 2017 but the scope of this work will be confirmed once an analysis of the total cost has been produced."
"HMRC was right to fire its contractor, but many of the processes used by Concentrix were the same as those used by HMRC itself.A HMRC spokesman said:
For many claimants, particularly those who were unwell, lacked self-confidence or had caring responsibilities, the document-heavy process of challenging a wrong decision by Concentrix was surely prohibitively daunting.
The real answer is of course to root out fraud and error at entry to the system rather than stopping benefits in payment as first resort."
"It is important to make checks on tax credits payments to ensure the right people are receiving them under the law, and this work will now be done by HMRC.Any guesses as to what the final bill for this clusterfuck will be?
We will not be entering into external contracts for this in future. We apologise to all those who did not receive the standard of service that they should have."
Tax does have to be taxing.
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Interesting that HMRC's Senior Management needed Parliamentarians to get involved before they woke up to the size of the debacle. They resist calls to become a Ministerial Department, or at the very least have a non-cosy Governance structure where they are properly scrutinised, so you would have thought they should have woken up sooner?
ReplyDeleteFor all the blaming of Concentrix by HMRC, it seems that the processes were to blame, which were, yes you've guessed it, the same as used by HMRC. I think HMRC's role in the debacle is far larger than 'just' failing to monitor the contract. We await some openness and accountability from them...
When you look at the huge costs involved (all tax payers money) I would hope HMRC senior managers who messed up with this will be held individually accountable, but instead expect they'll be promoted shortly...
Ruth Owen is in charge of HMRC's Customer Service inc. tax credits. I wonder what she knows about what went on with this fiasco?
ReplyDeleteWasn't she the lady who was in charge of the DWP a few years back and who 'starred' on TV in that hugely embarrassing Channel 4 Dispatches documentary about the non-advertised DWP jobs?
That reminds me.....where is this "ground breaking" Tiger Aspect documentary on the day to day work of the HMRC that was meant to be in the offing? Things have gone suspiciously quiet....i wonder why?...mmmm
DeletePress release for the HMRC Channel 4 (Tiger Aspect)documentary was back in March 2014. It suggested they had been filming over the previous 12 months.
DeleteSo if it went to air the footage would be THREE-FOUR years out of date. I know this type of documentary would be right up Channel 4's street so they must have been happy to broadcast it. And we all know how HMRC are so genuine, open and accountable, so what on earth stopped this?
I was looking forward to seeing if all the dodgy stuff was included.
On 2nd thoughts, you don't reckon HMRC tried to censor it, C4 said no, so the whole thing was binned? No, surely not!
It was going to be called "Meet the Taxman". Alternative titles could have been "Meet the Bullies", "Meet the Incompetents" or "Meet the Friends of Super Rich" etc etc
DeleteMaybe the documentary makers were allowed to film some selected staff but they found so much of the day had nothing to do with tax (or anything remotely productive) that they struggled to get a narrative to justify the title?
DeleteThe program featured a cup Le of cases where they are still in the legal system (HMRC are not alone in being really slow). Unless these cases are edited out, then the series cannot be shown until the cases have been heardoing. Only fair on the (non?) taxpayers featured.
DeleteHad a look at the DWP report and it is apparent that this is a committee that has a set of teeth, unlike the Treasury lot under "Dear Old Amyas" and Dame M Hodge. Therein lies a tale for a later posting?
ReplyDeleteThe next question should be why have those responsible not been brought to account, effectively and as an example?
Comcentrix were handed the poison chalice with mucho spondoolies (£$) clouding the issue (greed?).
Why worry, its only customers money after all!
Greed is all around us in the public sector. Remember the shameless bunch of HMRC senior managers led by the Homer person who took BONUSES ON TOP OF THEIR HUGE SALARIES, at the same time as those on the frontline (often abused and sometimes assaulted while doing the thankless job) all got pay FREEZES?
DeleteIt was an example of greed not leadership.
Recently there's also been a gentleman called Ian Watmore (First Civil Service Commissioner) saying that £87K isn't going to be enough for Brexit civil servants so they're just going to increase pay temporarily to £142k.
Oh, and they're going to stop the old civil service requirement for open recruitment. Jobs for the boys anyone?
The HMRC and civil service gravy train's journey continues... you really couldn't make it up!!!
Taxpayers money down the drain again. The blame handed to a (partly) innocent party again. HMRC exonerating themselves again. Those responsible at HMRC(still collecting their huge wages) not brought to book again.
ReplyDeleteKen, there is a theme developing here!
Vulnerable tax credit claimants were put through hell by HMRC's inability to design a process for Concentrix staff to do the checking and HMRC also failed to monitor their performance.
ReplyDeleteWhen are the HMRC Senior Managers responsible for all this going to be brought to account?
"We will not be entering into external contracts for this in the future" say HMRC. Notice how the HMRC propaganda department's statement encourages the reader to believe Concentrix were to blame and everything's going to be just fine now the wholesome HMRC are doing the checks?
ReplyDeleteHMRC are an absolutely shameless, unaccountable and immoral bunch!