Is HMRC Customer Satisfaction Getting Better or Worse?

HMRC customer satisfaction is at its lowest level since 2020, with less than one-fifth of respondents stating that the tax authority provides good customer service. This is shown by HMRC's new Annual Perceptions Research, which shows growing dissatisfaction, particularly with the helpline and telephone support.

Nearly half of those who recently called HMRC reported a poor experience. Opinion turned less positive or uncertain, with high numbers unsure how to score HMRC's performance.

Why Is HMRC Customer Satisfaction So Low?

Among the most significant causes of dissatisfaction is higher personal tax complexity. Due to the extended tax threshold freeze, millions of taxpayers are being introduced to the tax system for the first time, and they are not content with the service.

Those whose tax situation became more complicated in the last year were significantly more critical of HMRC's service on various scores, including reliability, trust and ease of use.

Falling Satisfaction Means Falling Trust

The research also confirmed that nearly two out of three respondents do not see HMRC as a trustworthy organisation. Fewer than one in three said they trusted the organisation, and just one quarter felt confident in its performance.

Fuelling the confusion, approximately 40% of the respondents incorrectly assumed that HMRC is responsible for determining tax rates — a responsibility actually performed by policymakers in government.

What Else Is New?

HMRC's imminent digital upheaval is also a concern. The Making Tax Digital (MTD) strategy, which will embrace Income Tax from April 2026, is not well understood. It has been discovered that one-third of sole traders are unaware of future developments.

Tax professionals have been shocked at low levels of engagement with agents and poor performance on live digital services. Only around 1,000 people have enrolled in the MTD pilot scheme since it opened, highlighting concerns about potential mass non-compliance due to ignorance.

Key Takeaway

With a new chief executive in place, improving the standard of service is perhaps likely to be high on the agenda.

His initial appearance before the Treasury Committee in June may provide insight into how HMRC is to come to terms with the mounting number of problems.