What is the purpose of section 27 of the Commissioners for Revenue and Customs Act 2005?

Section 27 authorises the Treasury to make regulations conferring inspection functions on police inspectorates — HMIC, Scottish inspectors, and Northern Ireland inspectors — so they can independently scrutinise how HMRC Commissioners and officers discharge their criminal justice and law enforcement functions, ensuring compliance with proper procedures and safeguarding suspects' rights.

Which police inspectorates can inspect HMRC under section 27?

Three sets of inspectorates may be given inspection powers: Her Majesty's Inspectors of Constabulary for England and Wales, the inspectors of constabulary under the Police and Fire Reform (Scotland) Act 2012, and the inspectors of constabulary under the Police (Northern Ireland) Act 1998. Each covers its respective jurisdiction within the United Kingdom.

How does section 27 prevent overlap with the National Audit Office?

Section 27 expressly prohibits the police inspectorates from examining matters that the Comptroller and Auditor General may review under section 6 of the National Audit Act 1983. This means broader questions of efficiency, effectiveness, and economy in resource use remain exclusively within the National Audit Office's remit, avoiding duplication.

What special rule applies when an HMRC inspection involves Scotland?

Where an inspection is carried out wholly in Scotland, or to the extent any part takes place in Scotland, it must be conducted jointly by HMIC and the Scottish inspectors. This reflects Scotland's distinct legal and policing framework and ensures appropriate local oversight of HMRC's law enforcement activities there.

Commissioners for Revenue and Customs Act 2005 section 27

Inspection

Section 27 provides for independent inspection of HMRC's law enforcement activities by Her Majesty's Inspectors of Constabulary and their Scottish and Northern Irish counterparts.

The Treasury may make regulations giving police inspectorates (HMIC, Scottish inspectors, and Northern Ireland inspectors) the power to inspect HMRC Commissioners and officers in relation to their criminal justice and law enforcement functions.
Regulations must require inspection reports to be produced and generally published, and must provide for an annual report by HMIC; they may also allow a Minister or the Commissioners themselves to call for an inspection and may authorise payments to the inspectorates.
Inspections must not overlap with the Comptroller and Auditor General's remit under the National Audit Act 1983 — meaning they cannot cover matters of overall efficiency, effectiveness, and economy in the use of resources, which fall to the national auditor.
Any inspection carried out wholly or partly in Scotland must be conducted jointly by HMIC and the Scottish inspectors to the extent the inspection takes place in Scotland.

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