Positive news for the Government - reclaimed tax from overseas tax evasion was expected to raise £1bn for the Treasury, but following negotiations between the Government and other national Governments this looks likely to significantly increase.Mr Osbourne is now expecting an extra £2bn from secret offshore accounts just from Liechtenstein. Its is possible that a further £3bn may be payable from Swiss accounts as well. Some estimates are in the region of £10bn from such tax evading accounts which estimate that there is £125bn stashed away in Swiss accounts by UK citizens.
All of this is helping to reduce the deficit and I imagine that it will be a more prominent part of the Government's strategy as a political move to reduce the negative criticism that has resulted from the largely middle-class tax penalties to date.
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