HMRC taking more than a year to pay out tax rebates

The Guardian - World NewsCenter-LeftEN 3 min read 100% complete by Anna TimsJanuary 17, 2026 at 08:00 AM

AI Summary

medium article 3 min

HMRC is facing criticism for significant delays in processing tax rebates, with some individuals and businesses waiting over a year for refunds. An investigation revealed cases where previously quick refunds now take ten months or longer. The Institute of Chartered Accountants in England and Wales (ICAEW) highlights the negative impact of these backlogs, attributing the issue to HMRC's focus on current claims over older requests. Individuals like a self-employed worker awaiting a honeymoon fund and a pensioner needing to borrow money are affected. HMRC acknowledges the delays and states it is investing £500 million in digital services to improve refund processing times.

Key Entities & Roles

Key Player Opposition Context

France 40% Netherlands 40% UK 40% Lindsey Wicks 50% Jill Eden 60% Simon Hughes 60% Jane Leigh 60% Institute of Chartered Accountants in England and Wales 70% HM Revenue and Customs ×790%

Keywords

hmrc 100% tax rebates 90% refund delays 80% overpaid tax 70% backlogs 60% national insurance contributions 60% pension tax 50% double taxation treaty 50% late payment penalty 40%