The Labour Group has called for future procurement exercises undertaken by Stockport Council to include tougher questions about tax compliance when goods and services are bought with taxpayer’s money from private companies.

Labour Group Deputy Leader Councillor Wendy Wild said ‘Unpaid tax by big business is costing the UK around £9 billion per annum, something which has major implications in an era when there has been a prolonged period of cuts to Local Government and huge job losses in the public sector.

‘I’m calling for Stockport Council to incorporate a new tax compliance measure into our local procurement policies – something which is already compulsory for every Central Government contract worth over £5 million.

‘This is in line with correspondence I’ve received from local residents, and in line with a national campaign run by Christian Aid. Stockport should take a zero tolerance approach to tax avoidance, especially when it concerns how we spend public money.’

Christian Aid’s Sourced campaign argues that if a critical mass of Councils increase their tax compliance scrutiny of the companies with which they do business, that this will have an effect on tax culture in the private sector.

Councillor Wild added ‘This is about using the influence the Council has to produce real change for Stockport so that residents have the public services which they deserve.

‘Reducing tax evasion and avoidance by changing Council rules on procurement will ultimately ensure a level playing field for small and medium sized businesses operating in Stockport which is something I think would have widespread support.’

A number of Local Authorities have already changed their rules to tighten up tax compliance questions during the procurement process, including Labour-led Oxford City Council during 2015.