Our last update on HMRC services covered the announcement by the Financial Secretary to the Treasury before the dissolution of Parliament of an additional £51 million in funding for HMRC to help deal with the pressures on its phonelines and address declining service levels. Earlier this month, the Institute attended a bespoke meeting with HMRC during which HMRC advised that it is working to source additional resources using this £51 million.
This will take some time and we therefore remind you that HMRC previously advised that even if additional funding was received, quarters one and two of 2024/25 are likely to see a further decline in services. HMRC’s longer term strategy is still to move most taxpayers to digital services.
At the above bespoke meeting, the Institute and the other Professional Bodies discussed and highlighted a number of pain points in the UK tax system and in particular pointed out the lack of agent service for areas such as changes to tax codes.