Asked if any members of the Cabinet used a tax avoidance scheme, Business Secretary Vince Cable said: "As far as I know we do not. We observe the law obviously but also try to set an example."
Comedian Jimmy Carr has admitted he made a "terrible error of judgement" over his tax arrangements.
Jimmy Carr did not break the law, but he exemplifies the feeling that the rich live by different rules than the rest of us.
The Government has re-stated it will crack down on the shady world of tax avoidance. Laws to do so may now be fast-tracked.