As of November 2024, the total tax debt in the UK is £44.8 billion, which is an increase from the previous quarter. This includes £6.1 billion in managed debt and £38.6 billion available for collection.
The debt is a challenge for HMRC to collect due to the following factors:
Fewer taxpayers in Time to Pay Arrangements (TTPAs): The number of taxpayers in TTPAs has decreased by 1.5% compared to the previous quarter.
More debt available for pursuit: The amount of debt available for collection has increased.
Two further factors that have affected this debt are an ageing population and the Covid-19 pandemic.
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