HMRC shortfall: Unpaid UK taxes hit record £59.2 billion (opens original article in a new tab)

Unpaid UK taxes reached a record £59.2 billion in 2024/25, with small businesses responsible for most of the shortfall, according to HMRC. The government aims to reduce this by £10 billion by 2029/30, though progress has been slow.

• HMRC reports a £59.2 billion shortfall in unpaid UK taxes for 2024/25, 6.4% of total tax liabilities.
• Small businesses contributed most of the tax shortfall, with corporation and VAT the most commonly unpaid taxes.
• Government aims to reduce the shortfall by £10 billion by 2029/30, but underpayment rate has only fallen 1 percentage point in 20 years.