The government will take money directly from the bank accounts of tax evaders under new powers.
HM Revenue & Customs ( HMRC ) will have the authority to deduct money from current and savings accounts of people who fail to pay their tax bill, The Times reported.
The latest move by chancellor John Healey, set to be announced in the Autumn Budget on Wednesday, is in response to Britain’s gaping £60bn tax debt.
For small unpaid debt, HMRC estimates that around 4.8 million people and companies hold debts below £10,000, totalling about £4bn.
This equates to an average debt of £950 for individual customers.
Chancellor of the Exchequer John Healey is poised to unveil his Budget (PA Wire)
Currently, HM Revenue & Customs (HMRC) can take money directly from the accounts of debtors who owe more than £1,000 in tax, provided they have at least £5,000 remaining after the debt is recovered.
These powers, which came into force in 2015, were paused during the pandemic and reintroduced by Labour in 2025.
But this…