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HMRC is to shut all of its tax offices in Wales and open a new branch in central Cardiff.

It will shut its Swansea and Porthmadog offices in 2019-20 while the existing Ty Glas site in Llanishen, Cardiff, will also shut at the same time.

The tax agency has confirmed it is to open a new regional centre in the capital in 2019-20. Wrexham’s office will also shut in 2020-21.

In 2019-20 it plans to close Ty Moelwyn in Porthmadog.

Staff working at Cardiff are expected to move to the new building while a “significant number of people” from Swansea will likely be able to do so as well, a leaked briefing document said.

But the document adds that HMRC recognises the planned new regional centre will be out of reasonable daily travel for many people working in Swansea.

It is all part of a massive reorganisation of HMRC’s estate across the UK – with staff officially informed of the plans on Thursday.

Unions have called for a high-profile consultation while there are warnings at the implications that closing the Porthmadog centre will have on the Welsh language.

Read more: Fears hundreds of jobs could be lost if HMRC closes all but one of its offices in Wales

New centre in Liverpool

HMRC says 90% of its workforce in Wales is thought to live within a “reasonable travelling distance” of a new regional centre.

The Welsh Language call centre is located in Porthmadog.

The leaked document says HMRC will continue to have a Welsh language unit based in Cardiff and is “exploring ways in which we can join up our language team with other government departments”.

Staff working in Wrexham are likely to transfer to a new regional centre in Liverpool.

HMRC says it will bring new work to Wales and accommodate between 3,500 and 3,800 full-time equivalent posts in the new Cardiff centre, the location of which is yet to be confirmed.

Marianne Owens, a member of the PCS HMRC group executive committee, said the mood among staff was sombre.

She estimated between 300 and 400 people across Wales may face having to leave their jobs as they would not be able to relocate to regional centres.

“It’s been a shock for a lot of staff across the country,” she said.

“Obviously it’s good that we are keeping a presence in Cardiff but what that means for other locations is not so good.

“Staff in Wrexham and Swansea face an uncertain future.”

Ms Owens said if the new office was in Cardiff city centre then transport was “going to be an issue” with workers unable to get to work if no parking was provided.

Site with 'good transport links'

HMRC said it cannot announce the location yet as it remains subject to negotiations with landlords and contractors.

Jonathan Lloyd White, HMRC’s director of security, said whether someone can relocate “really depends on personal circumstances”.

“It depends on where people live on what choices they make about their future. We really can’t predict how many people will stay with HMRC,” he said.

Mr White said HMRC was looking at property “with good transport links” in the centre of Cardiff but said he could not say where the office may be.

He added: “We are completely committed to our Welsh language service and supporting our Welsh language speaking customers.

“We are looking at joint arrangement with other government departments in addition to the service in Cardiff currently.”

Eluned Parrott AM, Welsh Liberal Democrat Shadow Economy Minister, said: “This is devastating news for many people in Wales.

“It’s all very well for the Tory UK Government to claim everything is fine as a new site will open in Cardiff but that will be no use to the people who work in the other sites across Wales.

“This news will be a hammer-blow to them and their families.”

But Welsh Conservative leader Andrew RT Davies said: “Today’s announcement will be of real concern to those workers located at the offices which are set to close, particularly in North Wales, and I have every sympathy for those who affected.

“The reorganisation could, however, lead to a net gain in terms of Welsh jobs of several hundred, with the regional centre likely to locate 3,800 employees.

“Ultimately, recent reports have highlighted the need to modernise the way in which HMRC works. Not only in terms of the way in which complaints are handled, but the efficiency of the organisation at tackling the minority which cheat the system.

“HMRC will need to convince people that the reorganisation will be able to deliver a better service, but the changes could lead to more high-quality, skilled jobs in Wales.”

'Expensive and isolated offices'

Lin Homer, HMRC’s chief executive, said: “HMRC is committed to modern, regional centres serving every region and nation in the UK, with skilled and varied jobs and development opportunities, while also ensuring jobs are spread throughout the UK and not concentrated in London.

“HMRC has too many expensive, isolated and outdated offices. This makes it difficult for us to collaborate, modernise our ways of working, and make the changes we need to transform our service to customers and clamp down further on the minority who try to cheat the system.

“The new regional centre in Cardiff will bring our staff together in a more modern and cost-effective building in an area with lower rents.

"It will also make a big contribution to the economy of Wales providing high-quality, skilled jobs and supporting the Government’s commitment to a national recovery that benefits all parts of the UK.”

The organisation that represents civil servants, the Public and Commercial Services union (PCS), called for a high-profile public consultation and for the proposals to be subject to full parliamentary scrutiny.

A Welsh Government spokesman said: “The First Minister wrote to the Prime Minister last year expressing serious concern when HMRC announced its decision to close its offices in Carmarthen, Colwyn Bay, Merthyr Tydfil and Pembroke Dock with the loss of over 100 good-quality jobs.

“This is now a double whammy and, as well as the uncertainty caused for staff, it will have a disproportionate effect in an area such as Porthmadog.

“We will be calling on the Prime Minister to do everything in his power to avoid compulsory redundancies.”

'Proposals will be devastating'

PCS general secretary Mark Serwotka said: “No one should be in any doubt that, if implemented, these proposals would be absolutely devastating for HMRC and the people who work there.

“Closing this many offices would pose a significant threat to the operation of HMRC, its service to the public, and the working lives of staff, and the need for parliamentary scrutiny of the plans is undeniable and urgent.”

PCS said that since 2010 more than 10,000 jobs have been cut from HMRC across the UK and 250 offices have closed along with the network of 281 walk-in tax enquiry centres.

The union says it is clear that with so few sites planned to remain the livelihoods of thousands of current employees are being needlessly put at risk.

The news confirms speculation from Plaid Cymru released late on Wednesday evenin g.

'Serious Welsh language implications'

Plaid MP for Dwyfor Meirionnydd Liz Saville Roberts said: “This is a major blow against devolving tax powers to Wales.

“On the one hand the UK government are willing to allow Wales more control over its taxes yet on the other the administration of these powers are being shunted across the border to England.

“This is a terrible blow to the local community in Porthmadog, where HMRC’s only Welsh-language call centre is located, putting a number of jobs at risk. The timing of this announcement is horrendous – weeks before Christmas.

“The HMRC office in Porthmadog employs around 20 people and is the only Welsh language centre of its type in Wales.

“This will mean a reduction in service to the public and a devastating blow to the local economy.

“As other Government bodies trying to make cuts have found out there are very serious Welsh language implications to closing the HMRC office in Porthmadog.”