Source · Select Committees · Public Accounts Committee
Recommendation 21
21
Despite this, and despite managing an additional 2.4 million customers with debt, HMRC told us...
Conclusion
Despite this, and despite managing an additional 2.4 million customers with debt, HMRC told us it has not seen an increase in the number of customers it identifies as being vulnerable, demonstrated by the steady rate of customers its staff have referred to its Extra Support Team.52 HMRC told us around 1,400 customers currently access help from its Extra Support Team. This is a tiny fraction of the 6.2 million customers with tax debt.53 It also compares poorly with numbers before the pandemic, when debt management specialists in HMRC’s Extra Support Team saw their caseload more than double, from 1,149 cases in 2017–18 to 2,867 cases in 2019–20.54
Government Response
Not Addressed
HM Government
Not Addressed
6: PAC conclusion: We are concerned that HMRC is not doing enough to identify vulnerable people who need extra support with their debts. 6: PAC recommendation: HMRC should ensure regular and adequate training is in place for staff and it should carry out research to independently estimate how many vulnerable people are affected by tax debt and how effectively it is identifying those customers and write to us with its findings. 6.1 The government agrees with the Committee’s recommendation. Target implementation date: December 2022 6.2 The government agrees it is important to provide appropriate support to people who have a physical or mental health condition or are in difficult personal circumstances. The commitment to improve the support provided to these individuals is outlined in The HMRC Charter. 6.3 The majority of people who need some support or reassurance will be helped by HMRC staff without needing to be referred to the Extra Support Team. Only where HMRC staff identify the person has more complex needs will they refer them to the Extra Support Team. 6.4 HMRC will refine its mandatory training and guidance to identify people who need extra support and make prompt referrals to the Extra Support Team. All training and guidance are regularly reviewed to identify opportunities for improvement. 6.5 HMRC will continue to build its understanding and insight on people who need extra help. Working with the voluntary and community sector, HMRC is exploring opportunities to improve identification and handling of contact from people with emotional and mental health issues. 6.6 HMRC will identify independent research which will help estimate how many people could potentially be eligible for extra support, and how they may be better identified. The insight HMRC has developed already, shows that people move in and out of vulnerable situations. They also know some people will not engage with HMRC for support for a variety of reasons. 6.7 HMRC will continue to review take-up of the Extra Support Team and improve communications to raise awareness of the service.