Institute backs MPs’ calls for HMRC to put customers’ needs first

22 Jan 2025

The Chartered Institute of Taxation has backed calls by MPs for HMRC to fund improvements to customer service.

A report, issued by the Public Accounts Committee today, highlights issues customers face when contacting HMRC, including long waiting times or failing to be connected to an adviser at all. It also voices concerns that HMRC has “degraded its own phone services” in order to encourage more customers to use digital platforms, and urges the tax office to use recent funding to improve service levels.

The report comes a month after a joint study by the CIOT and ICAEW found that more than one-third of contact attempts were made to chase progress on existing enquiries, rather than to make a new enquiry.

The two bodies concluded that HMRC could save an estimated 1.7 million hours of call handlers’ time every year if it implemented an automated tracking system for taxpayers to check the status of their queries.

Lindsay Scott, a technical officer for the Chartered Institute of Taxation, said:

“While we agree that a ‘digital first’ strategy for HMRC is the correct one, demand is currently outstripping supply and more must be done to plug the gaps. Traditional phone, webchat and post services need to be retained during the digital transition – and not be withdrawn or left to wither on the basis that at some point in the future things will be different.

“Furthermore, connecting to an HMRC adviser on its own does not result in good customer service or satisfactory outcomes. We would also urge HMRC to take action to improve resolution rates so HMRC advisers can resolve the issue during the call or deliver a resolution within an agreed timescale.

“More than one-third of calls to HMRC during our recent study were to chase progress. An automated tracking system to eliminate progress chasing calls could save more than 1.7 million hours each year, the equivalent of 1,000 full-time employees or approximately £36 million.”