HMRC has released its Transformation Roadmap, outlining plans to modernize the UK’s tax and customs systems through a “digital by default” model by 2030. The strategy focuses on three main objectives: improving daily processes for taxpayers, closing the tax gap, and updating core systems. By the end of the decade, HMRC aims for 90% of all interactions to occur digitally.
E-invoicing stands out as a central pillar of this transformation. Following a public consultation concluded in May 2025, HMRC and the Department for Business and Trade (DBT) are shaping policies to support wider adoption of e-invoicing across both public and private sectors. The goal is to simplify invoice processing, cut administrative costs, and reduce payment delays—especially benefiting SMEs.
The roadmap also outlines the expansion of the Making Tax Digital (MTD) initiative. From April 2026, MTD for Income Tax will apply to taxpayers earning over £50,000, followed by lower thresholds in subsequent years. MTD for Corporation Tax, however, will not be mandated; instead, HMRC will pursue internal digital improvements tailored to diverse corporate needs.
Looking ahead, HMRC plans to enhance its digital services through AI tools, real-time data use, and the new GOV.UK One Login system, replacing Government Gateway by 2026–27.
