Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what plans HMRC has to reduce its use of Managed Service Providers for customer contact services.

HMRC’s use of Managed Service Providers (MSPs) is not primarily driven by cost savings. HMRC uses MSPs to support the delivery of flexible and reliable customer service for taxpayers.

All HMRC activity is assessed for value for money using standard Civil Service approaches. These assessments are not typically published.

MSPs form an important part of HMRC’s overall resourcing model. As with many other government departments, they help HMRC maintain consistent customer service while providing flexibility that cannot be easily achieved through a single, fixed internal workforce.