UK Failed to Collect £42 Billion in Tax Last Year Partly Due to Staff Shortage, MPs Say
- Shortfall could help ease pressure on public services like NHS
- Gap has been falling but MPs demand resources for compliance
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Britain’s tax authority failed to collect £42 billion ($51 billion) in 2021-22, in large part because it did not have the staff to ensure compliance, leaving the public finances under even greater strain, a committee of lawmakers said.
A report from the House of Commons Public Accounts Committee found that despite collecting a record £731 billion, the “tax gap” rose from £32 billion the previous year. Measured as a share of what was estimated to have been owed, the gap remained at 5%.