HMRC recently published the Tell ABAB report 2024 to 2025. The Administrative Burdens Advisory Board (ABAB) comprises 11 representatives from a diverse range of businesses and professions and its aim is to ensure HMRC understands the needs of small business when engaging with the tax system.
The Tell ABAB report is a summary of the responses received to ABAB’s online survey and it is one of the most important tools it uses to help HMRC understand the experiences of small businesses. There were 3,146 responses to the 2025 Tell ABAB survey The report notes that if taxpayers or agents have ideas on how to further improve the survey, you can email your suggestions to advisoryboard.adminburden@hmrc.gov.uk.
The key findings of the report were as follows:
- Making Tax Digital for Income Tax (MTD): Awareness is rising, but mandatory quarterly updates are unpopular. Most businesses expect no benefits and foresee higher costs and time burdens. MTD is seen as costly and complex, with limited perceived advantages.
- Brexit-related admin: Import/export requirements are settling into “business as usual,” but remain more burdensome than pre-Brexit. Post-Brexit compliance still adds friction despite stabilisation.
- HMRC Communications: Helpline response times and clarity of letters remain poor; tone often feels harsh. Communication quality is a persistent pain point.
- HMRC Guidance: Generally helpful but hard to access; GenAI use is growing, though unchecked reliance is risky. Guidance needs enhanced accessibility and more clarity.
- Legislative burden: 57 percent say compliance burden worsened (up 7.7 percent from last year), harming productivity and growth. Rising complexity is a major barrier for small businesses.
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