Question to the HM Treasury:

To ask His Majesty's Government what proportion of interactions with His Majesty's Revenue and Customs customer service lines were classified as ‘failure demand’ resulting from (1) internal administrative errors, (2) unclear or misleading official guidance, or (3) another form of failure demand, in each of the past four financial years; and in each case, what was the total estimated cost.

HMRC publishes its call waiting times here: https://www.gov.uk/government/collections/hmrc-monthly-performance-reports

Last year, HMRC received extra funding to deploy additional customer service advisers. They are also investing in new technology which will significantly enhance the customer experience. Improving day-to-day performance is a key priority for HMRC.

Failure demand encompasses a broad spectrum of issues, including customer, employer and HMRC errors. While HMRC classifies some categories of call as failure demand (for example the customer could theoretically find relevant information via online guidance), these calls are essential in helping customers understand their tax obligations and pay the right amount of tax. Therefore, while HMRC is seeking to reduce failure demand and encourage customers to use online services, they recognise the importance of continuing to support those who call for extra help.

The below table provides the total proportion of calls classified as ‘failure demand’. Failure demand data does not exist for 2021/22 (or earlier).