Welcome to the Christmas 2023 Newsletter from Walsh & Co

98% of Covid fraud tip-offs are not being investigated, government ministers recently admitted. A request for data showed that just 103 of 5,124 calls made to the government's Coronavirus fraud hotline were properly investigated.

Meanwhile, research carried out by YFM Equity Partners has suggested that the UK is a 'hub for innovation'. According to the data, UK entrepreneurs generate £950 billion in revenue every year.

98% of Covid fraud tip-offs not being investigated, ministers admit

Government ministers have admitted that 98% of Covid fraud tip-offs are not actively being investigated.

A request for data from Shadow Attorney General Emily Thornberry revealed that 5,124 calls were made to the government's Coronavirus fraud hotline when it was in operation between October 2020 and June 2023. Just 103 of these calls were investigated, ministers admitted.

Only 20 of these were looked into by the National Investigation Service (NATIS).

Parliamentary Secretary to the Treasury, Alex Burghart, advised that tip-offs to the Coronavirus fraud hotline were sent to the relevant departments, who ultimately made decisions on whether to investigate. 

Commenting on the issue, Darren Jones, Shadow Chief Secretary to the Treasury, said: 'Billions of pounds of taxpayers' money was lost to fraud and corruption during the pandemic. And yet, the Conservatives are turning a blind eye and letting those responsible off the hook.'

A spokesperson for the Treasury responded: 'We are overhauling the way we tackle public sector fraud to ensure we prevent more fraud and chase down public money stolen from taxpayers.

'Since 2021, we have invested more than £900 million in taking action on fraud, and have established the Public Sector Fraud Authority to bolster fraud defences across departments.'

Research finds UK is 'hub for innovation'

Research carried out by YFM Equity Partners has suggested that the UK is a 'hub for innovation', with UK entrepreneurs generating £950 billion in revenue each year.

The research stated that the number of patents granted by the Intellectual Property Office serves to highlight the vast amount of new technology and innovative products in development across the UK.

According to the data, a significant number of entrepreneurs are utilising new and developing technology such as Artificial Intelligence (AI). 35% of those polled said that their firm already makes use of AI, whilst an additional 40% said they are considering using it.

Commenting on the research, Jamie Roberts, Head of Investments South at YFM Equity Partners, said: 'As their enormous contribution shows, entrepreneurs are the beating heart of the UK economy, and it is imperative that the UK government creates an environment where these businesses can thrive.

'The government has repeatedly shown its commitment to fostering innovation in the UK and has also highlighted the importance of innovation to a healthy and growing economy.

'However, [the] research shows that SMEs need better support, particularly when it comes to accessing finance to back their numerous and varied ideas.'

ESSENTIAL TAX DATES FOR JANUARY

1 January         
Due date for payment of corporation tax for period ended 31 March 2023.

14 January
Due date for income tax for the CT61 quarter to 31 December 2023.

19 January
PAYE, Student loan and CIS deductions are due for the month to 5 January 2024.
PAYE quarterly payments are due for small employers for the pay periods 6 October 2023 to 5 January 2024.

31 January        
Deadline for submitting your 2022/23 self assessment return (£100 automatic penalty if your return is late) and the balance of your 2022/23 liability together with the first payment on account for 2023/24 are also due.
Capital gains tax payment for 2022/23.
Balancing payment - 2022/23 income tax and Class 4 NICs. Class 2 NICs also due.

QUOTE OF THE MONTH

'In a tight labour market where employers are competing for skilled workers, hybrid working and flexible working more generally have become important parts of staff benefit packages.'

Jane Gratton, Deputy Director of Public Policy at the British Chambers of Commerce (BCC), commenting on research carried out by the business group that found that less than 30% of firms expect their employees to fully return to the workplace over the next five years.

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Businesses say hybrid working is here to stay
Less than 30% of firms expect their workforce to fully return to the workplace over the next five years, according to research by the British Chambers of Commerce (BCC).
Click here for the full story

Government urged to 'firm up foundations for growth'
The Confederation of British Industry (CBI) has warned that UK firms are gearing up for another tough year in 2024, and urged the government to 'firm up the foundations for growth'.
Click here for the full story

Cash usage rises as result of cost-of-living crisis
The ongoing cost-of-living crisis has driven individuals to use cash more frequently, research carried out by the British Retail Consortium (BRC) has suggested.
Click here for the full story

HMRC updates IR35 compliance guidance
HMRC recently updated its guidance on IR35 compliance for employers.
Click here for the full story

BCC warns red tape, rising costs and regulation 'holding back exports'
A survey of nearly 650 UK businesses carried out by the British Chambers of Commerce (BCC) has found that red tape, rising costs and increasing regulation are holding back exports.
Click here for the full story