Why do HMRC need to cut costs?
HM Revenue are currently battling swinging cuts that total up to £955 million over the course of each year. It says that it’s currently too big, and in actuality it is costing us more money than it is bringing in by recouping lost taxes.
Some of the ways in which HMRC are going to trim the fat include moving into less expensive offices, making sure that staff are as productive as possible, and trying to spend less on computing matters.
Here’s what Amyas Morse of the National Audit Office had to say: “In one year, HMRC has managed to deliver a third of the savings it is required to deliver over the four years of the spending period, at the same time as maintaining performance in key areas such as maintaining tax collection and reducing tax debt.”
The strategy is also expected to benefit those who are frustrated by long waiting times to talk to someone at a call center. Now, 80% of those customers will receive a response within five minutes.