Key takeaways

  • HMRC will recruit 670 more compliance officers by 2029-30, on top of 5,500 already promised, and spend £70 million more on private debt collection.
  • HMRC can publish more detail about deliberate defaulters and name officers given personal liability notices. The publication threshold rose to £50,000 from November 2026.
  • The promoter regime is extended fully to VAT and indirect taxes, and a consultation on serial users of avoidance schemes is coming.
  • Software providers connecting to HMRC face registration and stronger standards, and an intermediation roadmap for advisers is due in spring 2027.
  • Courts will be able to disqualify directors convicted of breaching HMRC security requirements.

Budget 2026 contains a long list of measures to close the tax gap. The Budget document says that, with this year’s additions, measures announced in this Parliament will raise more than £12 billion in 2029-30. Some affect every client, such as the new duty to correct errors and direct recovery of tax debts, which have their own posts. This post rounds up the rest, including several that affect advisers and the software they use.

More HMRC staff

The government will fund an additional 670 HMRC compliance officers by 2029-30, building on the earlier commitment to recruit 5,500. It is also investing a further £70 million over five years in HMRC’s partnerships with private sector debt collection agencies. The Treasury expects the extra officers to bring in £205 million in 2027-28, rising to £415 million in 2031-32.

Publishing details of deliberate defaulters

HMRC publishes details of people and businesses penalised for deliberate non-compliance. Two changes:

  • Higher threshold. A statutory instrument in force from 2 October 2026 raises the publication threshold from £25,000 to £50,000 of potential lost revenue, starting with the November 2026 list.
  • More detail and personal liability notices. Finance Bill 2026-27 will let HMRC publish a description of the deliberate non-compliance and the tax and penalty types charged, and the details of company officers who receive personal liability notices for company penalties. This applies to deliberate behaviour after Royal Assent, so in practice from 2027-28.

HMRC expects around 800 people and businesses a year to be published.

Promoters and users of avoidance schemes

The Promoters of Tax Avoidance Schemes (POTAS) regime will be extended fully to VAT and indirect taxes. HMRC will be able to publish details of indirect tax schemes and their promoters, issue stop notices more widely and issue conduct and monitoring notices. Names of promoters subject to stop notices can also be published earlier. These changes take effect from Royal Assent.

The government will shortly consult on a wider package, including new powers against serious and serial users of avoidance schemes and earlier recovery of promoters’ and certain individuals’ liabilities. A separate consultation on reforming offshore penalties is due later this year.

Director disqualification

HMRC can require a security for future tax liabilities where it considers this necessary to protect the revenue, and failing to comply with a security requirement can be a criminal offence. Courts will be able to consider disqualifying a person convicted of a qualifying offence under HMRC securities legislation from acting as a director. The overview of tax legislation says the ban can last up to five years and the measure applies to offences committed on or after 1 April 2027. Disqualification will not be automatic.

Information powers

Finance Bill 2026-27 will modernise HMRC’s information and inspection powers in Schedule 36 to Finance Act 2008, including rules on information notices about deceased taxpayers and extending financial institution notices to cryptoasset service providers. The definition of computer records will also be updated for modern digital records. Both take effect from Royal Assent.

Software and intermediaries

These measures most directly affect practices and their suppliers:

  • Software intermediaries. HMRC will introduce a registration process for software providers that integrate with its systems, stronger standards for software products, and proportionate enforcement for breaches of its software standards and terms of use.
  • Intermediation roadmap. Due in spring 2027, it will set out HMRC’s long-term approach to tax advisers and software providers. It will include measures to help taxpayers choose advisers, support advisers to help clients get expenses right, strengthen software standards, give a clear route for reporting harmful intermediary activity, and tackle tax misinformation and incorrect advice online.
  • Till fraud. Mandatory software standards will be introduced for electronic and mobile point of sale systems to tackle electronic sales suppression, with a technical consultation in summer 2027.
  • Business systems integration. The government will work with industry to test ways to improve how business systems connect, on a voluntary basis.

These sit alongside the mandatory registration of tax advisers with HMRC, which is being introduced in stages.

Wealthy and larger taxpayers

HMRC has published a multi-year plan to modernise its approach to the compliance of wealthy taxpayers, using more data, technology and specialist expertise. The government will also review how it deals with persistent non-compliance by a small minority of larger businesses, including the Special Measures regime.

Third-party data

HMRC is consulting until 20 January 2027 on improving property income data from letting agents and tenancy deposit schemes. The UK will also join an international agreement to exchange information on real estate automatically from 2029-30. Plans for new reporting of close company payments to participators will not go ahead for now.

What it means for accountants

Expect more checks, earlier. More officers, better data and new powers point to more compliance activity in the coming years. Clean records and quick responses matter more.

Advise clients at risk of security demands. Directors of companies with poor PAYE or VAT records should understand that failing to provide a security HMRC requires could lead to a criminal conviction and, from 2027, a director ban.

Choose software suppliers carefully. Registration and standards for software providers should improve quality, but practices should check that the products they use and recommend will meet HMRC’s requirements.

Take part in the roadmap. The intermediation roadmap will shape how HMRC treats agents. Professional bodies will respond, and practices can contribute through them.

Our guides to HMRC investigations, compliance checks and penalties explain the current regime.

Frequently asked questions

How many extra compliance officers is HMRC getting?

The Budget funds an additional 670 compliance officers by 2029-30, on top of an earlier commitment to recruit 5,500.

What is the threshold for HMRC publishing deliberate defaulters?

£50,000 of potential lost revenue, from the November 2026 publication. It was previously £25,000.

Can a director be banned for failing to pay an HMRC security?

Courts will be able to consider disqualifying a person convicted of a qualifying offence under HMRC securities legislation, for up to five years, for offences committed on or after 1 April 2027. It will not be automatic.

What is the intermediation roadmap?

A plan HMRC will publish in spring 2027 setting out its long-term approach to tax advisers, software providers and other intermediaries, including standards for software, help for taxpayers choosing advisers and action on harmful advice.

Sources

Rates, thresholds and rules in this guide were checked against HMRC and GOV.UK guidance on 28 October 2026. Tax rules change, so check the current position on GOV.UK or with a qualified adviser before acting. This guide is general information, not personal advice.