HMRC ‘transformation’ update sees four key delays | Personal Finance | Finance
One year on, HMRC has now revealed the progress that has been made, highlighting a number of goals that are being working on or have been completed. However, four specific goals that have not yet been achieved, including failing to launch new services for PAYE customers and people claiming Child Benefit.
The four commitments that were “not met” in this update fell among more than 25 other commitments from the original roadplan that did report good progress or had been totally fulfilled one year on.
- A new online service for PAYE taxpayers introduced
- New services which allow Self Assessment customers to close their records quickly
- Enhanced the Child Benefit service so eligible customers can pay the High Income Child Benefit Charge directly through their PAYE tax code
- Tested new ways of telling people about changes to their tax position
- Launched the Tax Confident campaign
- Piloted a new Tax Facts Vocational lesson for 16 to 18 year olds
- Updated interest rates for late payments
Expenses service
The original roadmap published last year promised to launch a new ‘expenses service’ for people that pay tax through PAYE. The service would allow people to submit claims for tax relief on expenses and their supporting evidence all in one place.
It was meant to be launched at some point during 2025/2026 but the new progress update revealed the service was still stuck in private beta, which is when a small select group of people test the service meaning it likely a public beta or other testing rounds before it can be released.
The progress update declared this goal was “not met”, adding that the new plan is to see a wider roll out of the service in 2026 to 2027.
Child Benefit digital tracking
A new service was meant to be launched for people claiming Child Benefit that would allow them to track their claims and view their payments in real time. It was meant to be launched from 2025 to 2026 onwards.
The update clarified this goal has not been met either, adding: “HMRC is developing a Child Benefit claim tracking service, to deliver incrementally from end 2026 to 2027.”
Enhance case management
As part of Labour’s drive to improve productivity, reliability and public trust in the tax system, one key goal of HMRC’s transformation plan was to enhance the way the current case management systems integrate the processing of letters, forms and penalties.
The update admitted this goal was not met, stating: “But HMRC continue to make improvements to case management systems to streamline compliance activity, making it more efficient for customers and those who act on their behalf.”
HMRCs dispute resolution and review process
This progress update was meant to contain an update on the consultation that is currently looking at how to improve HMRC’s alternative dispute resolution and statutory review processes, specifically the ease of access and use of these processes.
No update was provided in the latest release, with a statement noting: “HMRC is analysing the feedback provided by stakeholders and will provide an update in due course.”
