The Guardian makes new revelations this morning on the Vodafone and Goldman Sachs debacles that cam to characterise the closing years of Dave Hartnett's time at HMRC. The revelations do, in fact, come from a mail Hartnett himself wrote:
Britain's most senior auditor, who set up a judge-led review into the "sweetheart" multimillion-pound tax deals between HM Revenue & Customs (HMRC) and corporations, appeared to undermine the process before it began by telling the country's most senior tax official that the inquiry would find "nothing of substance".
The revelations — contained in a previously unseen email sent by Dave Hartnett, the then head of HMRC — also bring to light the fact that Amyas Morse, the head of the National Audit Office (NAO), told his staff that the review by Sir Andrew Park would find no evidence of serious wrongdoing.
Full marks to UK UNcut who seem to be behind this. It's worth reading in full.
Two things follow. First, another enquiry is needed, and one that is not set up to exonerate from the outset if, as now seems possible, this one was pre-disposed to do so.
Second, as I have argued time and again, the cosy atmosphere at the top of HMRC has to go: real top down reform is needed to ensure a culture of sound governance is introduced. Bringing in accountants, lawyers and FTSE directors is not the required action. A belief in the importance of high quality public service is. And that requires a change of culture and politicians who believe in the state and the importance of upholding those who work for it. It's called leadership. And it's been sadly lacking.
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Here’s Mr Morse’s CV:-
“Twelfth Report of Session 2008-09 – Public Accounts Committee Contents
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Appendix: Mr Morse’s CV
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Amyas Morse gained his degree at Oxford University in English Literature, and then qualified as a Chartered Accountant in Scotland at Arthur Young. After becoming a partner, he then moved to Deloitte where he became the youngest regional partner, overseeing Scotland and subsequently leading the Coopers & Lybrand practice in Scotland, (after its various amalgamations). He then moved to London to manage the London City Office, becoming the Executive Partner of the Coopers & Lybrand UK firm. When PricewaterhouseCoopers was formed, he took on global responsibilities, and served as Global Leader of Assurance practice (audit and related services), and then as Global Managing Partner (Operations). During his time there Amyas was a member of PWC’s UK and Global Boards and also regularly attended board meetings of their major clients. He joined MOD in July 2006 as the Defence Commercial Director, a 3* civil service appointment. He is the Head of Profession for the commercial function, which comprises some 2000 staff based at locations throughout the UK.
He is 59.”
Of course, receiving “advice via the Big 4 network” wouldn’t have prompted him to comment in this way? That’s just a ridiculous conspiracy theory, isn’t it?
Just the right sort for a watchdog! More coverage in the Private Eye.
A Very British Cover Up! Regulator Announce a high profile investigation. Appoints a retired judge to underscore “independence”. Have secret private meetings with the subject of the investigation to agree terms of referernce and how to arrive at predetermined outcome!
Talk about asking a sweetheart to investigate a sweetheart deal!
Richard,
I might suggest that its not actually top down reform that HMRC needs, it’s bottom up!
By that I mean perhaps its time they started listening to its staff, utilising their knowledge & experience, Instead it recruits its top people from the private sector & other government departments, whose primary concern is to do the bidding of their political masters, telling those with the knowledge & experience how to do their jobs!
I think we use different language for the same aim!
Agreed!