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HMRC extends Accenture application services agreement

Neil Merrett Published 26 July 2016

Four year contract will focus on providing secure cloud-hosted tax management to individual taxpayers – extending an existing relationship between the company and department


HM Revenue and Customs (HMRC) has agreed an extension of its application services agreement with Accenture that will see the company develop and introduce a secure cloud-hosted tax management platform for individual users.

Lasting up until June 2020, the extension agreement, which will incorporate new functionality for tax services, is intended to support increase used of digital technologies linked to the personal tax platform, as well as National Insurance and PAYE service functions.

The application services contract will be provided from the Newcastle-based Accenture Delivery Centre as part of the company’s global delivery network.

Mark Larsen, managing director at the company’s delivery centre, leads Accenture’s work with HMRC and claimed the agreement would build on earlier focuses.

“In support of HMRC’s innovative and customer-focused program, we will deploy leading digital technologies to radically transform and re-engineer the National Insurance PAYE Service applications and architecture, placing them at the heart of taxation for individuals,” he said.

The agreement is intended to build on Accenture’s ongoing work with HMRC to maintain the National Insurance and PAYE Service (NPS) that aims to streamline tax processing with the wider aim of introducing faster and more personalised services to the public.

Earlier this month, the National Audit Office (NAO) published a report into HMRC’s accounts that set out what it saw as the key risks to the department’s efforts to digitally transform tax administration services.

While deeming the department’s approach to tax programme transformation as credible, the auditor said more must be done to ensure public confidence in the services it was developing.

Along with trying to better understand costs and benefits, a failure to address a previous over optimism with regards to delivery targets and reducing demand for telephone support services has been identified among key concerns in the report.

“HMRC was over-optimistic about how much change it could deliver all at once, and how fast it could reduce demand for telephone contact in particular. This resulted in a collapse of its service to personal taxpayers in 2014/15 and the first half of 2015/16,” said the NAO.

“HMRC has since recovered the quality of its service to personal taxpayers by recruiting more staff and has adjusted its future resource plans in the light of this experience.”

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