Councillors have slammed the proposals to move nearly 3000 tax jobs out of East Kilbride.
As reported by the East Kilbride News last week an impact assessment by South Lanarkshire Council has painted a “gloomy” picture for East Kilbride should HMRC push ahead with plans to leave the town by 2026.
The report to councillors found that more than half – 54 per cent – of employees affected live in the town and 72 per cent within South Lanarkshire.
Over £2m could be taken out the local economy annually, with over 400 jobs at risk in the East Kilbride area as a result of the closure according to the council study.
This is despite HMRC repeatedly insisting there would be “limited” economic impact on East Kilbride – despite failing to carry out a impact assessment of any kind.
It comes following a equally grim report from the Public and Commercial Services (PCS) union who are leading the Stay in EK campaign backed by the East Kilbride News.
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The Labour Group within SLC have warned that the relocation of tax offices out of East Kilbride would be a ‘body blow’ to the local economy after the findings of the council report were presented to the committee.
East Kilbride West Councillor Monique McAdams said: “Relocating over two and a half thousand jobs out of the town would be a body blow not just to the East Kilbride economy but to the economy of South Lanarkshire as a whole.
"It’s an utter disgrace that HMRC put these proposals on the table without owning up to the economic impact of what they were doing.
“HMRC bosses must be confronted with the findings of this study and the stark reality of what these closures mean for their workforce. They cannot be allowed to ignore the economic impact of what they are doing to our community.
While Labour group leader Cllr Joe Fagan (East Kilbride Central North) said it was “an absolute disgrace that HMRC have not carried out an impact analysis on the effect of their restructuring plans.
And Independent Cllr David Watson (East Kilbride West) added: “This is gloomy, not just for East Kilbride but for South Lanarkshire.
“Something should be done, even at this late stage, to try and reverse the decision that has been taken by HMRC.”
The report to councillors also found 71 per cent of employees affected earn less than £22,000, with a further 15 per cent earning between £22,000 and £26,000 and some warning they face extra childcare costs of up to £2000 per year.
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It was agreed by the council’s community and enterprise resources committee to share the findings of the study with HMRC and the government in a bid to halt closures and keep East Kilbride’s tax offices open.
An HMRC spokesman said: “We expect the economic impact on East Kilbride to be limited as the majority of staff will still be employed by HMRC, in Glasgow, but will remain resident in East Kilbride.”
