Businesses debts to HMRC average £28bn a month

Business arrears to HMRC are running at an average of £28bn a month according to figures for the first three months of 2025 obtained by the Parliament Street think tank under the Freedom of Information Act.

For the first quarter of the year corporation tax debt arrears are at an average of £7bn a month – £7 527m in January £7142 in February and £6 794m in March. Unpaid VAT liabilities averaged £12bn a month – 12 554m in January £12 588 in February and £11 977 in March. Meanwhile late PAYE payments which include National Insurance contributions averaged at £8bn a month – £8 718 in January £8 518 in February and £8 166m in March.

Jason Kurtz chief executive officer of Basware said: ‘Our systems are detecting a substantial spike in invoice rejections as businesses scramble to renegotiate contracts ...