HMRC ends tax credit contract with Concentrix

Poor performance in checking tax credit claims means the contract will not be renewed in May 2017


In November 2014 HMRC entered into a contract with an outside company, Concentrix, to carry out checks on the accuracy of tax credit claims. This included checks such as whether the claim was being made in the correct capacity (single or joint).


The performance of Concentrix has come in for substantial criticism from the outset – both in terms of service levels and the quality of its decision-making. Many claimants have experienced considerable hardship as a result of incorrect decisions. According to recent reports the performance of Concentrix has deteriorated further, with many claimants unable to make contact by phone.


On 14 September HMRC announced that it will not be renewing its contract with Concentrix, which comes to an end in May 2017.


HMRC has now redeployed 150 staff to work with Concentrix to improve the telephone service and to clear the outstanding cases.


The Low Incomes Tax Reform Group has updated its helpful questions and answer page on tax credit checks by Concentrix – this has detailed advice for those who have been selected for such a check.