HMRC ‘is shooting itself in the foot’ by failing to answer between three and four million phone calls

It has emerged that as many as 4 million calls from taxpayers to HMRC go unanswered every year, according to a Director working at the tax office – a revelation that has prompted one expert to call on HMRC to increase its efforts to support taxpayers and businesses, as they look to navigate an increasingly complex tax landscape.

Speaking in a Commons Business Committee meeting last week, Jonathan Athow, HMRC’s Director General of Customer Strategy and Tax Design, responded to questions from Labour MP, Liam Byrne, about the £46.8bn of tax that is owed but not collected by HMRC.

As part of this, Bryne asked Athow how many calls go unanswered, given HMRC is only funded to answer 85% of the calls made by taxpayers. Athow said, “Off the top of my head, we’re talking three, maybe three or four million calls potentially.”

Tax insurance provider Qdos responded to the news, warning the government of the dangers of failing to provide the right level of support to taxpayers and businesses – both from a compliance perspective and in terms of ensuring that HMRC collects the £46.8bn worth of tax estimated to be owed.

Qdos CEO, Seb Maley, said, “Millions of taxpayers and businesses are being left in the dark by HMRC, which is shooting itself in the foot by failing to answer between three and four million phone calls every year. Behind each missed call is a person trying to do the right thing – whether it’s paying tax or looking for guidance and support to ensure their compliance.

“The complexity of the UK’s tax system makes clear, reliable advice indispensable. Without effective communication channels, many taxpayers are left to navigate unclear rules on their own. This can easily lead to mistakes and ultimately, non-compliance.

“While the government is committed to improving HMRC’s service levels – in itself a very welcome development – time is certainly of the essence. After all, every unanswered call is a missed opportunity to help people meet their tax obligations fairly and efficiently.”