Of course the tax gap is increasing – the senior staff are leaving H M Revenue & Customs

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As the FT reports:

Resignations by senior managers at HM Revenue & Customs rose sharply in the past tax year, as performance lapses at the organisation drew sharp criticism.

Forty-two HMRC staff at senior management level — earning more than £47,000 a year — resigned in the 2011-12 tax year, according to figures obtained by accountancy group UHY Hacker Young. This is a 45 per cent rise from the 29 resignations in 2010-2011, it said.

 Any day now new tax gap data should be published: the gap will have risen.
And we know the number of serious tax investigations is down 25% in a year.
It's not surprising: if you lose your best and most senior staff your effectiveness is reduced. And that's just what's happening at HMRC. The trouble is, it's by design. And that's the scandal.