Tax officials will be allowed access to personal data gathered for the controversial ID cards scheme, it has been disclosed.
HM Revenue and Customs staff will be able to examine people’s financial transactions on the scheme’s database and search for evidence of undeclared earnings or bank accounts.
The disclosure will likely to provoke further concern over the £5.5 billion project, which has been condemned as a waste of money and an invasion of privacy.
Campaigners have already raised fears the Home Office, police, and security officials would have access to the scheme’s database.
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The scheme’s log records each time an ID card is used to verify a person’s identity when they make a high value purchase, open a bank account or take out a mortgage.
Tax officials could use the system to look for cases where large numbers of high value purchases have been recorded, which might indicate that a person earns more than they declare.
The database will also include information on checks made by employers that job applicants are eligible to work in Britain. This could alert the taxman to people who have undeclared second occupations.