Does HMRC have enough spend?

The 2021 spending review settlement gives HMRC an extra £0.9bn funding increase on its 2019/20 settlement. HMRC’s expects to spend £4.8bn in the current 2021/22 year.

HMRC’s Spending Review 2021 bid, and the settlement it received, focused on three key areas:

1. Maintaining the delivery of core services, including increased funding for compliance activity;
2. Upgrading HMRC’s IT systems;
3. A secure and compliant border. This provides the funding to facilitate trade and deliver a secure and effective border, delivering the ambition set out in the 2025 Border Strategy.

 

At Levy and Levy, we are obviously focused on compliance issues and in this respect the Budget documents state that £292m is being given across three years for more resources to tackle the tax gap.  Which doesn’t strike us as an enormous amount of additional money – do our readers differ?  If so, we are delighted to receive any comments.