Recommendation 26

When we questioned HMRC on what would trigger it to evaluate the scheme, it told us that it would need ministers to request it. We queried the extent to which looking at the impact of a scheme is a political policy decision, as opposed to a decision for officials, and expressed concern at how little evaluation is done across government. HMRC noted that its involvement in initiating evaluations is centred on its role advising ministers on the tax system, including areas it believes require further analysis.40 It cannot identify how much it typically spends on evaluation as it does not track these costs separately from general policy and programme delivery costs. It spent £5.9 million on external research in 2022–23, of which it estimates around one-third was on evaluation. In comparison, its operational (DEL) spending limit for the same year was £7.1 billion.41 37 Qq 87–88 38 Qq 55, 82, 94 39 Qq 56–57 40 Qq 86–88 41 Correspondence from HMRC to PAC dated 7 June 2023; HM Treasury, Central Government Supply Estimates 2022–23: Main Supply Estimates, HC 396, June 2022, page 356 16 Child Trust Funds