Thursday 6 April 2017 / 1:08 PM 2017 Press Archive / The Latest from Labour

Peter Dowd response to Public Accounts Committee report into Concentrix

Peter
Dowd MP, Labour’s Shadow Chief Secretary to the Treasury,
commenting on the Public Accounts Committee report into Concentrix, said:

“The
findings by the Public Accounts Committee reaffirms the Government’s continued
inability to take responsibility for the shambolic decision to contract out tax
credits to Concentrix. It is now crystal clear that Concentrix should never
have been awarded the contact.

“This
damning report reveals what many of us have long suspected, first that neither
HMRC nor Concentrix bothered to check for error or fraud before suspending tax
credits to some of the most vulnerable in our society.


Secondly, that Concentrix’s claims of mass savings were inflated from the start;
they have barely recouped one fifth of their initial savings figure. Third, that
HMRC is woefully ill-equipped to outsource such important decisions to the
private sector, instead of penalising Concentrix for mistakes HMRC tripled its
commission. 

“This
whole saga makes a mockery of the current tendering process. Given these
damning findings, Concentrix should be banned from any future Government
contracts and the Government should seek to recoup the majority of its
commission.”