Service level declines at HMRC impacting taxpayers

The National Audit Office (NAO) has released a concerning report regarding the performance of HM Revenue and Customs (HMRC).

It highlights substantial service delays that have led to significant frustration and distress among taxpayers.

This report echoes previous criticisms from the Public Accounts Committee, underscoring a continuous decline in service standards over recent years.

Key Findings from the NAO Report:

  • Extended wait times: Average call waiting times have seen a dramatic increase, from five minutes in the 2019/20 tax year to 23 minutes in 2023/24.
  • Decrease in call handling: Out of 38 million call attempts in 2022/23, only 20.5 million were answered.
  • Inadequate correspondence handling: Performance in handling written correspondence has consistently missed target levels since the 2019/20 tax year.
  • Increased non-compliance risks: The report indicates that these service level issues could complicate tax compliance, potentially leading to higher risks of non-compliance.

The NAO also critiques HMRC’s shift towards digital self-servicing platforms. Despite the intention to reduce telephone service costs and reallocate resources to more complex support needs, this transition has not alleviated service pressures as much as anticipated.

Notably, around 72 per cent of calls in 2023/24 were classified as “failure demand”, driven by process failures, delays, or customer errors, suggesting that digital services may be contributing to increased call volumes.

We are always here for you so that you will not have to waste hours on the telephone to HMRC.  We will take the burden away from you by offering guidance and support in order to ensure you remain compliant while minimising disruption to your working day.

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