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New Update on Plans to Raise Personal Tax Allowance From £12,570

UNITED KINGDOM, JUL 21 – HMRC’s new digital PAYE service will enable 35 million workers to manage tax details online, aiming to save £50 million annually and increase tax system automation by 2030.

  • On July 21, 2025, HM Revenue and Customs announced a new online PAYE service for around 35 million UK taxpayers, allowing them to check and update income, allowances, reliefs and expenses digitally.
  • Part of HMRC’s Transformation Roadmap launched today, it lays out over 50 IT projects and measures to modernise the tax system, with `The Government’s ambition is for a simpler tax and customs system`, said JP Marks.
  • HMRC advisers and caseworkers will use AI to automate call summaries and support staff, while customers access the service via the Personal Tax Account or HMRC app, saving HMRC said £50 million a year.
  • From April 2026, new legislation will hold recruitment agencies using umbrella companies legally responsible for accounting PAYE, aiming to tackle tax avoidance and fraud.
  • By 2030, taxpayers will experience a more automated, self-service tax system, alongside priorities to reform the tax system and close the tax gap.
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barnesroffe.com broke the news in on Monday, July 21, 2025.
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