HMRC confirms 6k suspected furlough fraud cases are being reviewed - how this may cost you
Furlough fraud levels may have already reached costly highs over the last year or so but according to new confirmations from HMRC, further abuse could be uncovered over the coming months. In April, as HMRC released official figures, it was shown furlough themed fraudulent activity rose to just over 26,000 and this was on top of dire warnings issued in late 2020.
In late 2020, Meg Hillier, a Chair of the Public Accounts Committee, warned the “hasty” roll out of CJRS could have led to billions being lost from Government coffers due to fraud and/or negligence.
Ms Hillier said at the time: “Our finding of the astonishing lack of economic planning for a pandemic shows how the unacceptable room for fraud against taxpayers was allowed into the Government’s hastily drawn up economic support schemes.”
Rishi Sunak appeared to acknowledge fraudulent activity posed a problem in his March Budget, as the Chancellor vowed to act.
As Mr Sunak detailed in March: “We’ll also tackle fraud in our Covid schemes, with £100million to set up a new HMRC taskforce of around 1,000 investigators as well as new measures, and new investment in HMRC, to clamp down on tax avoidance and evasion.”
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