Recommendation 3

HMRC has been too willing to let its telephone services fail in the hope this forces people to use its digital services instead. HMRC estimates 66% of calls it receives could be handled online instead. It hopes that by encouraging customers to use digital services it can free up its helplines for vulnerable customers and customers with complex affairs who need to speak to an adviser. However, not all services are available online, and where they are available they do not always provide the reassurance that customers need. HMRC has been too quick to restrict access to its telephone services before ensuring replacement digital services are fully in place. In 2023, it trialled some helpline closures with only two days’ notice to taxpayers, and reversed a decision to close them permanently from April 2024 following criticism from stakeholders. HMRC said it recognises that not everybody can go online and that vulnerable customers may need additional support. It has increased the number of staff supporting vulnerable customers by 20% and has provided £5.5 million additional funding to community and voluntary organisations. recommendation HMRC should ensure it understands how far its digital services can replace telephone services and what level of telephone service it needs to retain to meet customers’ needs - including those of small businesses. HMRC should ensure it meets a minimum level of service for all customers, including those 7 million customers HMRC estimates can’t use digital services. 4