HMRC has defended its decision to close 29 inquiry centres in Scotland including one in Dundee, saying demand for the service has fallen.
A new flexible support service will from May better address the needs of customers seeking help with taxes, tax credits and child benefits, the organisation says.
The office at Caledonia House, Greenmarket, has a staff of seven and they have been given the options of working in the new service, applying for voluntary exit or seeking another job within HMRC or another government department.
HMRC employs more staff in other departments at Caledonia House.
The Public and Commercial Services Union has warned that millions of pensioners, vulnerable workers and tax credit claimants will lose a vital service and 1,300 jobs across the UK will be at risk.
Dundee West MP Jim McGovern said he was appalled at HMRC’s decision as he believed the whole network was well used. Her Majesty’s Revenue and Customs disagreed and said research showed inquiry centres no longer meet the needs of customers.
The centres are spread unevenly across the UK and many of the estimated 1.5 million customers who need extra help do not live near one and face extra travel costs.
Only a very small minority of HMRC’s 40 million customers in the UK ever use one of the 281 inquiry centres, and demand has halved to fewer than two million in 2013.
Some centres are now open just one day a week as a result of the sharp drop in demand and 11% of inquiry centre customers needed a face-to-face appointment.
The new service will save customers around £17 million a year in lost time and travel costs, and will save taxpayers over £27m a year, HMRC said.
HMRC said it is discussing the impact of the changes with inquiry centre staff and unions, and will do everything possible to redeploy personnel within HMRC, or help them to find another role in the civil service. It is committed toavoiding compulsory redundancies where possible, but will offer staff who don’t wish to be redeployed, or apply for a post in the new service, the opportunity of a voluntary exit.