Nicky Morgan, chair of the Treasury Committee has written to Jon Thompson, chief executive of HMRC, asking him to respond to several concerns raised about HMRC and its unwillingness to undertake an investigation when there were serious allegations of money laundering and tax fraud.

On 19 April, Buzzfeed reported on a leaked email from HMRC which saw the tax authority refusing to investigate Lycamobile over money laundering and tax fraud allegations.

Morgan said: ‘BuzzFeed’s story has clearly raised all sorts of disturbing questions, including HMRC’s approach to international cooperation in the fight against economic crime.

‘It’s also concerning that, as implied in the leaked email, HMRC’s actions against those suspected of economic crime may be influenced by their political donations or high-profile connections.”

‘The Treasury Committee will examine this further as part of our inquiries into economic crime and tax avoidance.’

Morgan has asked Thompson to respond to concerns over:

• HMRC’s willingness and capacity to act vigorously on behalf of other countries
• The implication in the email that HMRC’s actions against those suspected of economic crime are influenced by political donations made by suspects
• The security of HMRC information about the investigation of possible criminal activity

Report by Amy Austin