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Revenue and Customs: Compensation

Treasury written question – answered on 7th July 2011.

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Photo of Richard Fuller Richard Fuller Conservative, Bedford

To ask the Chancellor of the Exchequer pursuant to the answer of 21 March 2011, Official Report, column 829W, on departmental compensation, what steps he is taking to reduce the need for HM Revenue and Customs to compensate the public for errors made.

Photo of David Gauke David Gauke The Exchequer Secretary

HMRC takes all complaints very seriously and recognises the need to minimise any amounts paid out as financial redress by providing better services to customers. HMRC is progressively introducing a programme of continuous improvement to streamline every aspect of its systems and procedures and eliminate errors and delays.

For 2009-10 the payments made under the Department's ex-gratia financial redress policy totalled £3.74 million, including a single, exceptional payment of £1.2 million. For 2010-11, payments totalled £1.41 million. Excluding the exceptional payment this equates to a reduction of 44%.

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