Bonus payouts for HMRC staff that lost benefit discs

The HMRC department that caused the blunder which saw the personal details of
25 million families go missing, has been given £19m in performance-related

Some of the payouts, amounting to £8,000, were made just days after the news
of the missing child benefit database discs made headlines.

The bonuses have gone up by 70% compared to the £11m staff received in the
previous year despite seven data breaches since April
2005, the

According to figures released, 220 senior HMRC staff received bonuses for
2006-7 worth £1.7m, on average £8,000.

A further £1.7m was dished out to nearly 38,000 other workers who received ad
average of £453 each.

Conservative chairman of the Treasury sub-committee, Michael Fallon,
described the scale of the payout as ‘staggering’.

‘Given the over-payments of tax credits and data loss mistakes, constituents
might be surprised to learn that a third of staff at HMRC shared a
performance-related bonus,’ said Fallon.

But Treasury minister Jane Kennedy, said the increase was the result of a
‘pay assimilation exercise’ after HM Customs and Excise and Inland Revenue
merged in 2005.

Further reading:

bonanza for civil servants

Apology for disc blunder costs the taxpayer £3m

Taxman warned not to influence Poynter review

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