Reform proposes £30 tax rebate for HMRC phone delays

People who are forced to wait more than 30 minutes for HM Revenue and Customs (HMRC) to answer a telephone call would receive a £30 credit against their tax bill under a Reform UK government, the party has proposed.

Reform's economy spokesman Robert Jenrick said the policy would give HMRC a financial incentive to improve its customer service and reduce long waits for taxpayers trying to contact the department.

Under the proposal, taxpayers would receive a £30 tax credit if they spent more than half an hour waiting for their call to be answered. The payment would be limited to two occasions per tax year to prevent the system being abused.

Jenrick also proposed linking the pay of senior HMRC officials to customer service performance.

Speaking at a media conference in central London, he described HMRC's treatment of taxpayers as "offensive to working people".

"If HMRC delay, they can repay," he said, arguing that the proposed credit would put greater pressure on the tax authority to provide a better service.

HMRC phone service under scrutiny

HMRC has faced sustained criticism over its telephone services.

A Public Accounts Committee report published in January 2025 accused the organisation of attempting to reduce its telephone service in order to push taxpayers towards digital channels.

The report said almost 44,000 customers had been disconnected without warning after waiting for more than an hour during 2024.

It also concluded that HMRC's treatment of taxpayers had damaged confidence in the tax system.

HMRC has since said its response times have improved. The findings of the committee were strongly rejected at the time by HMRC's then chief executive, who described them as "completely baseless".

Reform says its proposed tax credit would ensure taxpayers are compensated when they experience lengthy delays.

Reform also targets UK data protection rules

Jenrick also used the announcement to set out proposals for changes to data protection regulations.

Reform wants to replace the UK's current privacy framework with what it describes as a "light-touch" system, arguing that existing rules create unnecessary burdens for small businesses and technology companies.

He criticised the General Data Protection Regulation (GDPR), which was adopted into UK domestic law following Brexit, claiming it had placed excessive restrictions on businesses.

Reform says it would introduce a system based on New Zealand's privacy legislation, which it argues provides a lighter regulatory regime while still being recognised by the European Union as offering an adequate level of data protection.

Labour criticised the proposal, accusing Reform of seeking to remove important protections for people's personal information and describing the plans as "unworkable and unserious".

HMRC has been approached for a response to Reform's proposed £30 tax credit.

The proposals form part of Reform UK's wider programme aimed at reducing regulation and changing the way government departments deliver services to the public.