Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if she will make an assessment of the potential merits of establishing an independent watchdog to monitor the effectiveness of HMRC Customer Compliance Group.

HMRC and its Customer Compliance Group (CCG), is subject to a wide range of independent oversight and actively engages with a range of independent assurance, both internal and external.

Internally, HMRC maintains robust governance structures, including oversight by its Executive Committee and HMRC Board, alongside newly established subcommittees of the Board such as the Closing the Tax Gap Committee chaired by non-executive director Bill Dodwell – with a significant focus on the work of Customer Compliance Group.

Externally, HMRC is held to account by Parliamentary authorities, including the Committee of Public Accounts (PAC), the Treasury Select Committee (TSC), and the National Audit Office (NAO) who regularly undertake both financial and value for money scrutiny of HMRC and its Customer Compliance Group. Recent reports include those into tax evasion in the retail sector, managing compliance work since the pandemic and collecting the right tax from wealthy individuals – all of which primarily focused upon the work of HMRC’s Customer Compliance Group.

HMRC Customer Compliance Group welcomes Parliamentary scrutiny and has accepted 93.5% of recommendations of these bodies in the last 24 months aimed at strengthening the effectiveness of the Department. HMRC is working to implement the recommendations by the deadlines agreed with the respective bodies.

Customers can also ask the independent Adjudicator’s Office to review complaints after they have been investigated, if they are dissatisfied with how they have been handled by the Department.