§ Mr. FrenchTo ask the Chancellor or the Exchequer what assessment he has made of the administrative savings to be made from amalgamating the Inland Revenue and the Contributions Agency. [28334]
§ Sir George YoungThe relationship between the Contributions Agency and the Inland Revenue was examined last year. It was concluded that the overlap between the Revenue and the agency did not warrant an amalgamation of the two businesses. In addition, any efficiency gains would be outweighed by transitional costs and disruption to both departments.
Work is in hand, as part of their respective deregulatory plans, to achieve closer working between the two organisations which should offer worthwhile savings to business.