Policy paper

HMRC Strategic Asset Management Plan - Executive Summary

Published 30 October 2025

Our Business

HMRC is a non-ministerial department. It has an executive agency, the Valuation Office Agency (VOA), with their estate fully integrated into HMRC property management and workplace services delivery. In April 2025, the Exchequer Secretary to the Treasury announced VOA is to be fully integrated into HMRC by April 2026. HMRC and VOA are working together on the formulation of an integration plan.

We are the UK’s tax and customs authority, and we have a vital purpose: we collect the money that pays for the UK’s public services and help families and individuals with targeted financial support.

We do this by being impartial, effective and efficient in our administration of the tax and customs system. We help the honest majority to get their tax right and make it hard for the dishonest minority to cheat the system.

The Estate Portfolio and Transformation

As of 1st April 2025, HMRC’s estate covered 506,458 sqm and consisted of 83 land and property assets. Our core property assets are our offices that cover 462,256 sqm and consist of 31 offices across the UK. HMRC directly manages its property portfolio and leases space from the other government property functions. In addition to occupying offices ourselves, we act as a landlord for 57 other government departments (including the VOA) and have direct leases with 4 private tenants. In total, these outgoing agreements comprise 120,812 sqm of our estate. In 2024/25 the net running cost of the estate was £217.8 million.

We plan to open our new Regional Centre in Newcastle in 2027 and are in the process of delivering solutions in East Kilbride and Telford. We are also exploring potential solutions for Preston, Portsmouth and an additional site in Manchester/Salford. The HMRC Locations Programme is currently on track to close during 2030/31.

By 2030/31 the HMRC office base^{[footnote 1]} is forecast to be consolidated into 29 offices with a total Net Internal Area (NIA) of 385,122 sqm. Additionally, the number of 100% OGD occupied properties in our estate is expected to be zero from 2026/27, as the last 100% OGD site (DWP at Newcastle, Tyneview Park) moves to a new site in the Newcastle area.

Vision and Strategy

HMRC’s Estates vision is to “Provide great workplaces that are inclusive, enabling colleagues to perform at their best”. 

We currently have four strategic Estates objectives: Delivering Professionally, Great Place to Work, Drive Value from the Estate, and Supporting our People. We have aligned these objectives with the cross-government property missions in our Estates Strategy to ensure we are delivering for HMRC and wider government. Our strategic planning and delivery enable HMRC to deliver a smaller, better and greener estate. We are leading the charge in several areas, providing valuable insights for wider government to benefit from, whilst keeping the experience of colleagues who use our spaces as the centrepiece of our model.

Completing the transformational Locations Programme by 2030/31, alongside the development and use of building technology and innovation in our asset management, facilities management and sustainability functions, are all key to ensure delivery of our vision and strategic objectives which provide the space solutions for HMRC to deliver its core mission and transformation ambition.

Programmes and Projects

Facilities Management

We successfully procured the next generation of our facilities management contracts which commenced in May 2025. Through these new contracts we have acquired the capability to deliver modern and more innovative services over the life of the contracts and support our technology and sustainability ambitions. ​

Our facilities management service in Estates aligns with government FM Data and Service standards whilst supporting the ambitions of the central Government Property Strategy.

Lifecycle Replacement 

HMRC has further strengthened its lifecycle replacement and asset management function through the development of 25-year plans. This allows us to determine when individual assets need replacing (helping to extend asset lifespans), reduce maintenance costs, and increase service levels by reducing disruption. Our two-year delivery approach to lifecycle replacement projects enables us to refine deliverables in good time for necessary approvals and funding windows, whilst consistently applying lessons learned and risk mitigation. This approach to cross-year funding in relation to asset management was acknowledged as best practice in the 2024 NAO report – Managing Public Services.

Technology & Innovation

HMRC has established a Digital Estate Strategy, through which we will deliver better value for taxpayers, implement our sustainability goals, and gain improved data insights to enhance efficiency of the HMRC building portfolio.

Our goal is to increase the intelligent use of data cross the HMRC Estate. We have established Estates Common Asset Data Standards (ECADS) based on the Government Functional Standards as the foundation to develop our Asset Information Requirements (AIR’s), which are now in place. Digital models of our Regional Centres act as data foundation, which supports future Estates projects and service delivery. 

Due to the new build nature of HMRC’s Regional Centres, we continue to work towards achieving optimum operational efficiency across the portfolio. This will be implemented using building technology either included within the buildings, or through the further development of specific technology solutions. Examples of such initiatives include consistent building controls relating to heating, ventilation and lighting along with the roll out of an Environmental Management System, which enables us to efficiently deliver building services across HMRC.

Sustainability

Our Estates Sustainability Strategy aims to provide a net-zero carbon estate by 2040, provide greater climate change adaption, increase resource efficiency, and protect and enhance our environments. We are working towards these goals through initiatives such as our electric vehicle programme, heat recovery systems within our buildings, and pilots for water saving technologies. Our performance against the Greening Government Commitments can be viewed in the HMRC Annual Report and Accounts.

We continue to develop our utilisation of building technology to provide greater carbon mitigation capability across the estate and improve our sustainable decision making. Additionally, we are working with suppliers to better monitor and control the activities, products and processes that cause or could cause environmental impacts. This will provide a sustainable and greener estate for civil servants today and future generations.

Estates People

Each year we review and update our estates workforce capability plan, and for 2025/26 we are focussing on:

1. Optimising the operating model for our Workplace Operations area to support delivery of the Next Generation Facilities Management contracts.
2. Promoting an inclusive culture that supports working well together, including launching Estates team charters that set out our leadership and behavioural expectations at several levels of leadership and management
3. Strengthening our learning offer, promoting professional competence, managing change effectively, and wider development.
4. Continuing to develop the HMRC Property Profession via our Property Profession Steering Group, aligning to Office of Government Property targets.

We are also focusing on building our digital, sustainability and facilities management capabilities to meet our strategic objectives, ensuring we have the right capabilities to maximise the value from our emerging digital products.

Planned Outcomes 

Category	PRESENT (last year-end)	FUTURE (next year-end)
Total land area	506,458 sqm	500,084 sqm
Total operational space/footprint	462,256 sqm	457,625 sqm
Number of locations	83	82
Total net property running cost forecast, per year	£217.8 mil	£219.5mil
Total number of HMRC employees (FTE)	63,061	66,210
Condition data (average condition across estate based on the most recent lifecycle condition surveys)	B	B

1. Excluding any VOA Estate which will become HMRC responsibility from 1st April 2026 ↩