Corporate report

HMRC Unique Customer Record Programme: Accounting Officer Assessment summary

Published 7 August 2023

It is normal practice for Accounting Officers to scrutinise significant policy proposals or plans of major projects, and then assess whether they measure up to the standards set out in Managing Public Money.

From April 2017, the government committed to make a summary of the key points from these assessments available to Parliament when an Accounting Officer had agreed an assessment of projects within the Government’s Major Projects Portfolio.

Background and context

In July 2020 the government published ‘Building a Trusted, Modern Tax Administration System’, a strategy for the future of tax administration. The government is looking to a future world where:

‘People and businesses to be able to pay the right tax as they live their lives and go about their business. It should be easy for people to pay any tax due, and for most people the calculation and payment of tax should be effortless. For most businesses, tax should be straightforward and hard to get wrong.’

The Unique Customer Record (UCR) programme is a building block needed to deliver this vision of a trusted and modern tax administration. It is being delivered though:

Delivering the complete UCR solution

The UCR programme is the department’s principal vehicle to address the consequences of several decades of building and updating our increasingly complex data structure in an organic way. It will do this by matching an individual’s or organisation’s customer records using combinations of customer identifiers and attributes, to establish if record(s) already exist on HMRC systems (National Insurance & PAYE Service & Enterprise Tax Management Platform). If the matching service identifies an existing or duplicate customer account, they will be ‘merged’ into a UCR for the same individual customer or organisation.

Implementing a data management culture

The programme will set in place data management processes, controls, metrics, policies, standards and technical capabilities for continuous improvement and maintenance of customer data through technology, process and cultural changes.

Implementing business improvements

HMRC will derive business value from the UCR programme by exploiting the potential of better and more accurate and available customer data.

Regularity

No regulatory changes are required to implement this programme. The UCR is a pre-requisite for a single customer account, which is how we enable our customers to see and manage their affairs with us, online.

Having a UCR which incorporates, all a customers’ key information (name, address, etc), the taxes and services they are enrolled for and what money is either owed to HMRC and/or owed to the customer from HMRC in one place will drive a more personalised, data driven approach to administering our customers’ tax affairs. This will make it easier for customers to get their tax right first time and support increased compliance.

Propriety

The programme adheres to HM Treasury’s Managing Public Money guidance and the HMRC change lifecycle governance. It undertakes the appropriate assessments and reporting. Clear governance processes have been established for effective programme management. A programme board, chaired by a suitably experienced and empowered Senior Responsible Officer, is established as the main decision-making authority and key stakeholder representation is in place, along with an HMRC Director General as Senior Sponsor. Key risks and issues are highlighted and managed at the board along with consideration of the financial position of the programme.

In addition to the programme board and regular reporting into the wider HMRC Portfolio function, the UCR programme is part of the Government Major Projects Portfolio and is subject to quarterly reporting to Cabinet Office as well as yearly Infrastructure and Projects Authority (IPA) led reviews.

The programme is supported by business partners from the Major Programmes Commercial Team dedicated to major change programmes across HMRC.

Value for money

The programme has followed HM Treasury’s Green Book guidance. Value for money has been assessed via an options appraisal which has been documented in the Programme Business Case. The preferred option offers the highest potential to meet the critical success criteria and objectives, including a step change in handling our underlying customer related data in the most cost-effective way.

Feasibility

The programme is resourced by experienced project and programme delivery specialists internal and external to HMRC with specialist technical resource brought in as necessary to support delivery. The most recent IPA Review in January 2023 assessed the programme as Amber.

Conclusion

As the Accounting Officer for HMRC, I have considered my assessment of the UCR programme and on balance, the proposal is value for money and deliverable. I have therefore approved it as of 4 July 2023. I have prepared this summary to set out the key points which informed my decision.

If any of these factors change materially during the lifetime of the programme, I undertake to prepare a revised summary, setting out my updated assessment. This summary will be published on the government’s website (GOV.UK). Copies will be deposited in the Library of the House of Commons and sent to the Comptroller and Auditor General and Treasury Officer of Accounts.

Accounting Officer’s name: Jim Harra, Chief Executive HM Revenue and Customs.

Signature:

Date of signing: 4 July 2023