Source · Select Committees · Public Accounts Committee
Recommendation 15
15
Acknowledged
Declining trust in HMRC attributes to substandard services and broader global governmental trends.
Conclusion
We asked about taxpayers’ declining trust in HMRC. HMRC said there had been a decline in trust globally with governments and with public bodies, and it was also subject to that decline. It told us that it had not been providing services up to the standards it wanted to, and this had affected taxpayers’ trust. HMRC reinforced the importance of trust saying that “it has to be at the centre of everything that we do, because the UK’s tax system depends on people voluntarily complying and having confidence in HMRC.” It said trust depends on “both the quality of the processes and communications that we give people, as well as the quality of the service when they have to deal with us.” 26
Government Response Summary
The government agrees with the observation about declining trust and outlines its ongoing efforts to improve trust, including understanding drivers, using customer surveys, and improving services and processes.
Government Response
Acknowledged
HM Government
Acknowledged
2.1 The government agrees with the Committee’s recommendation. Recommendation implemented 2.2 HMRC recognises five drivers of customer trust, being perceptions of fairness, competence, transparency, reciprocity and prevalent social norms. 2.3 HMRC uses its annual customer surveys (most recently 2024), complaints data, and focus groups to understand these perceptions in driving changes in the headline measures for different customer groups. HMRC place great value on customer feedback. 2.4 Alongside good customer service, trust depends on ensuring a fair tax ecosystem by holding to account those that do not pay the correct amount of tax, in addition to other factors such as prevailing trust in government. 2.5 HMRC aims to continue improving levels of trust by being more supportive, creating a level playing field, and ensuring its services and processes are quicker, easier and help more customers to get their taxes right first time. For example: • Delivering sustained improvements in HMRC’s helpline services. • Improving digital services. • Updating guidance regarding tax avoidance schemes. • Consulting on ways to improve intermediary standards and the benefits good advisers bring to the tax system, counter those that promote avoidance, and reforming the tax administration framework. • Making improvements to services for tax advisers, such as improving the Agents Dedicated Line and Services Account, building digital transactional services and webchat for tax advisers, and introducing a pre-complaint resolution service. 2b. PAC recommendation: HMRC should publish the concerns it has heard and the actions it is taking to address these, as a first step to improving trust. 2.6 The government agrees with the Committee’s recommendation. Recommendation implemented 2.7 HMRC publishes the results of its annual surveys as well as a range of other customer feedback (for example, via exercises like public consultation). The Exchequer Secretary has confirmed that HMRC will publish a Transformation Roadmap this summer, including the details of digital services that will mean a better experience for taxpayers.