The Association of Revenue and Customs (ARC) has described last week's disclosure of HM Revenue and Customs' detailed plans for the next few years, which show a crackdown on evasion by small and medium-sized businesses but fewer resources to tackle avoidance by multi-nationals and the wealthy, as letting big businesses 'off the hook'.

In Autumn the Government announced, as part of its spending review that HMRC would be cut by more than £3bn, although some limited "re-investment" was said to be targeting fraud. Only now have detailed plans emerged, and these show further steep reductions in the senior grades - the grades that deal primarily with large business and the wealthy.

Graham Black, President of ARC, the union representing senior HMRC staff, said "This is just as we feared. HMRC is reducing by a further 15% to around half the size it was a few years ago. And while some extra resources are being used, rightly, to target fraud, the number of senior staff capable of dealing with complex avoidance and evasion will tumble yet further, by over 400.

"There is a huge tax gap, caused in part by well-advised businesses and individuals stepping aside from taking their share of the pain. Why should banks and major businesses be let off the hook, when most citizens in the UK pay their fair share in taxation? The country cannot afford this madness. The Government is acting like an unhinged Robin Hood - taking from the poor and giving to the rich".

It doesn't look like a very wise business decision either. ARC members are senior HMRC professionals engaged in work that brings in the majority of the £12bn tax gap closure delivered by HMRC last year. This work is incredibly cost effective. An ARC member earning £50k can expect to generate additional yield of at least £1.5m each year; a return of 30 times their cost.

For every £1 of yield the Exchequer benefits by an additional £1 through the deterrent effect of this work both on the subject of the compliance intervention and on those who might be tempted to cheat on their taxes. The recent public outrage over tax avoidance and evasion demonstrates that people want a tax system that is fair to all. This can only be achieved if HMRC has sufficient resources to tackle tax avoidance and evasion across all sectors.