Last month we highlighted the key aspects of how the 2025 Spending Review will specifically impact on HMRC. Overall, the Spending Review announced an additional settlement for HMRC of £0.5 billion in 2026/27 which will be used to “make HMRC a digital-first organisation”. The Department was also set two ambitious targets related to this; that by 2029/30, 90 percent of taxpayer interactions will be digital self-serve and HMRC will have reduced the number of letters it sends by 75 percent. The Institute recently met with HMRC to discuss this.
In the meeting we highlighted to HMRC how ambitious these targets are and expressed concern about the impact on current service levels as HMRC seeks to achieve these targets. The transition to a digital-first organisation must not result in a deterioration of service levels and HMRC will need to communicate clearly how it will deal with incoming post as it moves to becoming digital first.
We also asked when HMRC expects to publish both its digital roadmap and its broader transformation roadmap which will be critical elements in seeking to achieve these targets. HMRC noted that these are expected to be published over the summer and both will set out in more detail how HMRC intends to achieve the targets set by government. The Institute will continue to discuss this and service levels with HMRC; we welcome your feedback at any time on this by email to tax@charteredaccountants.ie.