In this week’s Enews, we look at ways HMRC could save millions of hours and improve its customer service levels. There is also news on the government’s Industrial Strategy and self assessment filing numbers over
News - 3 January 2025
HMRC could save millions of hours with tracking system
HMRC could save an estimated 1.7 million hours of call handlers’ time every year if it implemented an automated status tracking system, according to two of the leading bodies for tax advisers and chartered accountants.
A joint study by the Chartered Institute of Taxation (CIOT) and ICAEW tracked attempts to contact HMRC across phonelines and webchats for six weeks. It 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 bodies say that, while improving customer service performance remained crucial, a significant reduction in the need for agents and taxpayers to contact HMRC in the first place was vital.
Only 33% of contact attempts to HMRC resulted in the query being fully resolved, the study found, with the average wait time across phone and webchat standing at 19 minutes.
The introduction of 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, CIOT and ICAEW said.
Additionally, an automated tracking system would reduce the number of staff needed to answer such calls, who could be redeployed elsewhere.
Ellen Milner, CIOT’s Director of Public Policy, said:
‘The report's recommendations are practical solutions which can deliver significant improvements for agents and taxpayers.
‘Additionally, from an HMRC perspective, resolving issues with progress chasing alone has the potential to save them over £36 million a year in staff costs. This seems a good place to start for releasing funds for much needed investment in training and digitalisation.’
Internet link: CIOT website
Government launches Industrial Strategy Advisory Council
The UK government has launched a new Industrial Strategy Advisory Council which brings together business leaders from across the UK to offer advice.
The government says the Industrial Strategy will help maintain a pro-business environment to capture a greater share of internationally mobile investment and motivate domestic business to boost their investment and scale up their growth.
It will channel support to sectors and geographical clusters that have the highest growth potential for the next decade, the government adds.
Anna Leach, Chief Economist at the Institute of Directors said:
‘We welcome the launch of the Industrial Strategy Advisory Council which will offer independent advice and recommendations to government as it develops the Industrial Strategy.
‘It’s incredibly important to see the role of businesses in designing and delivering the government’s growth mission given prominence. An industrial strategy which embeds stability and long-termism alongside astutely targeted investments can play an effective role in driving this mission.
‘It is also good to see that the council will have a role in holding the government to account in the effective delivery of industrial strategy through data, analysis and reporting. We look forward to engaging with the new council in creating the conditions for businesses to thrive in the UK.’
Internet link: GOV.UK IoD website
Over 40,000 file self assessment over the Christmas break
More than 40,000 taxpayers completed their self assessment returns over the Christmas break, according to figures from HMRC.
On Christmas Day 4,400 people filed their tax return online while almost 12,000 submitted their tax return on Boxing Day.
Christmas Eve was the busiest day for returns over the festive period with 23,731 filing their returns.
Then numbers were released by the tax authority as it continues to encourage taxpayers to prepare and file their tax return ahead of the deadline on 31 January 2025.
Myrtle Lloyd, HMRC’s Director General for Customer Services, said:
‘People who need to file a self assessment return and already have can enjoy the rest of the festive period knowing they’ve got it wrapped up for another year … for those who haven’t started yet, our online service is available 365 days a year so there’s still a chance to get it done. Go to GOV.UK and search ‘self assessment’ to access the online help and start today.’
Internet link: HMRC press release
