HMRC 'soft on alcohol smugglers'

Customs officials were criticised today for failing to crack down on criminal gangs who dodge alcohol tax at an estimated cost to the Treasury of more than £1bn.

MPs claimed HM Revenue and Customs appeared to be reluctant to prosecute offenders after they found 20 successful cases had been brought over the four years to 2009-10.

HMRC has put the gap between the amount of duty due and the amount collected at around £1.2bn, but its information is inadequate, the Public Accounts Committee said. Richard Bacon MP said: "The department needs to strengthen its intelligence by developing better links with the industry, the UK Border Force and other EU states."