A comprehensive survey reveals a significant decline in trust towards HMRC among UK businesses, highlighting widespread dissatisfaction with service standards.
- Over 10,000 businesses participated in the survey conducted by HMRC’s Administrative Burdens Advisory Board, with most rating their experience as “poor.”
- Long wait times for phone support and inadequate advice from webchat and helplines are the main causes of dissatisfaction.
- Despite improvements in online resources, businesses face complexities with post-Brexit processes, impacting overall trust.
- Treasury and HMRC are urged to prioritize helpline improvements and tackle taxation legislation burdens.
A recent survey conducted by HMRC’s Administrative Burdens Advisory Board unveiled that a significant majority of the over 10,000 respondents are increasingly dissatisfied with HMRC’s service standards, marking it as “poor.” This widespread discontent is shared by accountants and business advisers who warn of an eroding trust that hampers tax collection efficiency. Caroline Miskin from the Institute of Chartered Accountants in England and Wales articulated, “This simply can’t be allowed to continue.”
The survey identified key areas of dissatisfaction, primarily focusing on the prolonged wait times for phone support services, followed closely by the inadequacy of webchat and helpline advice. These service shortcomings have contributed to a growing frustration among businesses across the UK, further compounded by the complexities encountered in post-Brexit import and export procedures.
Despite efforts from HMRC to streamline certain processes by improving access to information on the .gov website, many businesses are struggling with the intricate procedures required post-Brexit. Dame Teresa Graham, chair of the Advisory Board, commented on the perception of increased bureaucracy as an unavoidable business cost in the UK.
The survey results have prompted both the Treasury and HMRC to acknowledge the pressing need for enhancements in service delivery, particularly in the realm of helpline services and the development of more intuitive online platforms. Graham also emphasized the importance of addressing the legislative burdens associated with taxation, advocating for a cautious approach in the upcoming budget to avoid merely layering new taxes.
Challenges persist for HMRC, exacerbated by outdated IT systems and limited resources, which hinder the implementation of necessary digital upgrades. The feedback from the survey, which included 84% businesses and the rest tax agents, underscores the critical need for reform in order to restore the confidence of the business community.
Urgent reforms are necessary to restore trust and improve HMRC’s service standards.