More than 4,800 self assessment scams have been reported since February 2025, according to data released by HMRC.

The tax authority says scammers are using persuasive and threatening tactics to target people when they are more likely to receive correspondence from HMRC. The scammers send fake tax demands or attempt to pressurise people to hand over personal information.

In the last 10 months, taxpayers have reported more than 135,500 HMRC-related scams, including 29,000 scams referring to fake tax refund claims.

HMRC is reminding customers to be vigilant and check whether the email, SMS message or phone call claiming to be from HMRC is genuine on GOV.UK.

Lucy Pike, HMRC’s Chief Security Officer, said:

‘Millions of people file a tax return each year and scammers mimic HMRC to try and catch unsuspecting victims out.

‘I’m urging people to stay vigilant and if any emails, text messages or phone calls appear suspicious – don’t be lured into clicking on links or sharing your personal information – report it directly to HMRC. Just search ‘report an HMRC scam’ on GOV.UK to find out more.’

The UK can expect to see big falls in the rate of inflation this year, according to the Resolution Foundation.

The think tank’s prediction comes despite an increase in December 2025 that saw the UK end the year with the highest headline inflation of any G7 economy – an unwanted position it has now held for the past seven months.

UK inflation increased from 3.2% in November to 3.4% in December, keeping the UK at the top of the G7 leaderboard.

CPI inflation expectedly increased in December, driven by tobacco duty, airfares and food. Food prices rose by 4.5% in the 12 months to December, up 0.8% compared with November. Bread and cereals made the largest contribution to this rise, which is disappointing given such staples make up a larger share of spending for lower-income families.

The think tank says that better news is coming this year, with the Bank of England forecasting a broad-based 0.5 percentage point fall in January. With inflation still below the Bank’s forecast, it remains on track to head back towards its target rate over the course of 2026.

James Smith, Research Director at the Resolution Foundation, said:

‘UK inflation ended last year on a ‘high’ with an unwelcome uptick in price rises.

‘And while Britain hopes to lead the G7 economic leaderboard for growth, it has instead spent the last seven months at the top of the charts for inflation instead.

‘But big falls are due in 2026, with inflation finally returning to back to more normal levels. However, the scars from a long period of acute price pressures will continue to be felt by families.’

Despite falling behind its peers the UK economy could be on the brink of a turnaround so the government must ramp up rather than run-down its growth strategy, says the Resolution Foundation.

A report by the think tank warns that the UK’s poor post-financial crisis economic performance has continued well into the 2020s. Its GDP per head is now languishing 15% behind its former peers, including France, Germany and Canada.

There are signs that the UK economy may be turning a corner however, with productivity growing by 3.4% over the past 18 months.

The report says the government’s three-pronged strategy of restoring stability, increasing investment and reforming the economy is the right one for the challenges Britain faces.

Greg Thwaites, Research Director at the Resolution Foundation, said:

‘There’s lots to welcome in the government’s economic growth strategy. But it has spent much of the past 18 months undermining that strategy with policy U-turns, kite-flying tax ideas and timidity in areas like trade where it needs to be bold.

‘With signs that productivity may be turning a corner, the government must capitalise by ramping up its plans. It should redouble efforts to unblock housebuilding in major cities, focus job support for young and older workers, and decide whether to bite the bullet and reverse some of the damage from Brexit.’

Pubs and live music venues in England will be given a 15% discount on their business rates bills from April and will not see increases for two years, the government announced.

It comes after a backlash against November’s Budget, which left many facing major increases in their business rates bills.

The government says that pubs have faced significant pressure as their numbers have fallen by nearly 7,000 since 2010, a roughly 15% reduction and amongst the highest across hospitality overall.

The support package will save the average pub an additional £1,650 in 2026/27, it adds.

Kate Nicholls, Chair of UKHospitality, said:

‘We welcome the recognition by the Prime Minister and the Chancellor of the scale of the challenges facing the hospitality sector. They have listened to us about the acute cost challenges facing businesses, all of which is impacting business viability, jobs and consumer prices.

‘The rising cost of doing business and business rates increases is a hospitality-wide problem that needs a hospitality-wide solution. The government’s immediate review of hospitality valuations going forward is clear recognition of this.

‘The devil will be in the detail, but we need to see pace and urgency to deliver the reform desperately needed to reduce hospitality’s tax burden, drive demand, and protect jobs and growth. We will work with the government over the next six months to hold their feet to the fire to deliver this.’

Internet link: HM Treasury

Small businesses such as cafes, shops and hairdressers are facing three years of business rates misery with an average 52% hike in bills, analysis from the Federation of Small Businesses (FSB) has revealed.

This is due to the removal of business rates relief for 230,000 small firms across the retail, hospitality and leisure (RHL) sectors in England.

The removal of the relief combined with other business rates changes being introduced by the government from this April, leaves many having to pay thousands of pounds extra, says the FSB.

In a letter to the Government, FSB has urged ministers to deploy the full relief available to them for small firms in RHL. Currently, only a quarter of the potential relief included in the government’s own formula is being used.

FSB Policy Chair Tina McKenzie said:

‘Striving small businesses in retail, hospitality and leisure – from bakeries and coffee shops to garden centres, gyms and dry cleaners – are on the brink unless Chancellor makes a decisive intervention now.

‘The tax timebomb that’s currently ticking will see three years of soaring bills, threatening our high streets and the jobs and services they provide.

‘Combined with other cost pressures going up in April as well, the Chancellor has to be realistic that without action on business rates relief, the burden will become too much to bear for some, who will either shrink or close down altogether.’

Internet link: FSB