Tax Collection

(asked on 3rd December 2025) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if she will set out the difference between (a) recovered unpaid taxes and (b) outstanding unpaid taxes in the period since July 2024 to date.


Answered by
Dan Tomlinson Portrait
Dan Tomlinson
Exchequer Secretary (HM Treasury)
This question was answered on 11th December 2025

HMRC is committed to making sure that individuals and businesses who can pay, do so on time. Since Autumn Budget 2024, HMRC has received £782 million of investment in its debt collection activities, which will help it to collect over £12 billion more debt by the end of 2030-31.

HMRC published an update to its tax debt strategy at Budget 2025, outlining how the recent investment is helping to close the tax gap and reduce tax debt year-on-year as a percentage of receipts. The tax debt balance as a percentage of receipts fell from 5.2% in 2023-24 to 5% in 2024-25, and HMRC is aiming for this to decrease to between 3% and 4% by 2029-30.

HMRC has effective processes in place to collect debt including telephone and letter campaigns, strategic partnerships with private sector debt collection agencies, and where necessary, enforcement action. For customers who need financial support, it offers flexible Time to Pay payment plans which collect debt in affordable and sustainable instalments.

HMRC publishes quarterly performance updates on GOV.UK. You can find this here:

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