HMRC’s Dismal Service Levels: A Taxing Farewell for Sir Jim Harra

The chief executive of HM Revenue & Customs (HMRC), Sir Jim Harra, has stepped down after a 41-year career, leaving behind a legacy overshadowed by the tax authority’s worst customer service levels on record. As taxpayers grapple with long wait times, unanswered queries, and a labyrinthine system, Harra exits with a staggering £107,000-a-year pension, rising annually with inflation, and a £278,000 tax-free lump sum, according to The Telegraph’s calculations. While Harra sails into retirement with financial security, the public is left questioning why such rewards are bestowed upon a leader who presided over a customer service catastrophe.

 

HMRC’s service levels have plummeted to unprecedented lows under Harra’s six-year tenure as chief executive. Call waiting times have ballooned, with some taxpayers reporting hold times exceeding an hour—when they manage to get through at all. In 2023, HMRC’s own data revealed that only 60% of calls were answered within 10 minutes, a far cry from the 85% target. Millions of calls go unanswered annually, leaving individuals and businesses in limbo, often facing penalties for late filings or payments due to HMRC’s own inefficiencies. The tax authority’s digital services, touted as a solution, are plagued by glitches and a user-unfriendly interface, further alienating those seeking help.

 

Small businesses, the backbone of the UK economy, have been hit hardest. Many report spending hours navigating HMRC’s systems, diverting precious time from running their operations. Self-employed individuals and landlords, already burdened by complex tax rules, face delays in resolving queries that can lead to financial strain. The introduction of Making Tax Digital, a flagship policy under Harra’s watch, has been widely criticised for its rushed implementation and lack of support, piling additional pressure on taxpayers.

 

HMRC’s staffing cuts, justified as cost-saving measures, have gutted its capacity to deliver. Since 2010, the department has slashed thousands of jobs, leaving remaining staff overwhelmed and under-resourced. Morale is reportedly at rock bottom, with whistleblowers describing a culture of burnout and mismanagement. Yet, despite these failures, Harra walks away with a pension package that most taxpayers can only dream of—a bitter pill for those who’ve spent hours on hold or faced fines due to HMRC’s blunders.

 

Defenders of Harra might argue he inherited a challenging system, with Brexit and the pandemic adding unforeseen pressures. But these excuses wear thin when the decline in service has been consistent and predictable. Other public sector organisations faced similar strains yet managed to adapt without leaving citizens stranded. HMRC’s leadership, under Harra, failed to prioritise the taxpayer, instead leaning on platitudes about “digital transformation” while the phone lines rang unanswered.

 

The irony is palpable: a tax authority that ruthlessly pursues citizens for minor errors rewards its outgoing chief with a six-figure pension for overseeing a shambolic operation. Harra’s golden goodbye is an insult to the millions who’ve endured HMRC’s dysfunction. As his successor steps in, the public deserves more than promises of reform—they need a complete overhaul of a system that’s failing those it’s meant to serve. Until then, HMRC’s service levels remain a taxing injustice, and Harra’s pension a glaring symbol of unaccountability.

Word count: 470

Tax does have to be taxing.

Tax Investigation Insurance

Market leading tax fee protection insurance for businesses, sole traders and individuals. Protect yourself from accountancy fees in the event of an HMRC enquiry.

Having a Solar Protect Tax Investigation Insurance policy at your disposal means that should you be one of the many 1000's of businesses or individuals that are selected by HMRC each year to look into your tax affairs your own accountant (your tax return agent) can get on and defend you robustly.

You have the peace of mind knowing that your accountant's (your tax return agent) fees will be paid by the insurance without any Excess for you to find.

Tax Investigation Insurance is an insurance policy that will fully reimburse your accountant's (your tax return agent) fees up to £100,000 if you are subject to enquiry by or dispute with HMRC.

A Solar Protect policy will enable your accountant (your tax return agent) to:

• Deal with any correspondence from HMRC
• Attend any meeting with HMRC
• Appeal to the First-tier Tribunal or Upper Tribunal
• Having the security of knowing that fees will be met in full will enable your Accountant (your tax return agent) to defend your position robustly

Please click here for details.

HMRC Is Shite (www.hmrcisshite.com), also available via the domain www.hmrconline.com, is brought to you by www.kenfrost.com "The Living Brand"