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HMRC to resume tax programme it paused during Covid

The Government said in the spring statement that HMRC would restart DRD for those who choose not to pay — The Government said in the spring statement that HMRC would restart DRD for those who choose not to pay (Getty/iStock)

HMRC has resumed its Direct Recovery of Debts (DRD) programme, which was previously paused during the pandemic and is now in a "test and learn" phase.
The DRD policy targets individuals and businesses who have the means to pay their tax debts but deliberately choose not to.
It enables HMRC to directly transfer funds from debtors' bank accounts, including cash ISAs, for outstanding debts of £1,000 or more.
Key safeguards are in place, such as ensuring a minimum of £5,000 remains in the debtor's accounts and only pursuing established debts after ignored contact attempts and appeal periods.
Taxpayers have an automatic right to appeal if they dispute the amount owed, with experts noting HMRC's determination to collect debts while balancing support for those in genuine financial difficulty.

HMRC to resume taking tax owed by debtors directly from their bank accounts — In full