Overview
- HMRC is expected to announce the new reward programme on November 26, with final design details such as eligibility thresholds and payout rates still unconfirmed.
- Reporting indicates informants could receive up to about 30% of taxes recovered in major cases, mirroring US-style incentives.
- The move targets large-scale evasion as HMRC cites a £47bn annual tax gap and estimates £5.5bn in losses from evasion in 2022–23.
- The scheme represents a sharp break from past practice, where total whistleblower payments were under £1m last year despite record tip volumes.
- HMRC has consulted the IRS on the model; the Treasury declined to comment, while HMRC’s board chair signaled awards could be significant and legal experts say incentives could bolster enforcement.