HC Deb 28 March 1972 vol 834 cc204-5
2. Mr. Joel Barnett

asked the Chancellor of the Exchequer if it is the practice of the Treasury to pay British and foreign nationals for information received concerned with evasion of tax and exchange control regulations; in how many cases in the last five years such payments have been made; what was the average payment; which countries were involved; whether British income tax was paid on such payments in the case of British residents; and if he will make a statement.

The Chancellor of the Exchequer (Mr. Anthony Barber)

Such payments are occasionally made by the Departments concerned. In relation to income tax and exchange control together there have been approximately 15 cases during the last five years, averaging a little over £100 each. In about four cases, the recipients were believed to be resident in other Commonwealth or foreign countries. The payments are not liable to British income tax.

Mr. Barnett

Would it be possible to have a successful prosecution in such cases, in view of the way in which the information has been obtained? Has the Chancellor considered making representations to the Swiss Government through one of the international bodies on behalf of Britain and other countries to seek to persuade the Swiss Government to cease giving assistance to criminals from this country and elsewhere?

Mr. Barber

Any matters concerning approaches to the Swiss Government are for my right hon. Friend the Foreign and Commonwealth Secretary. The matter to which the hon. Gentleman is referring is now sub judice.

Mr. Cant

Apart from approaches to the Swiss Government, will the right hon. Gentleman congratulate the Treasury on this excellent piece of public enterprise? Is he aware that many hon. Members on this side of the House hope that the Treasury will continue this practice and stoop to conquer if necessary.

Mr. Barber

For the reason which I have given, I do not want to say anything about the case in question.