HMRC Time-to-Pay trends: what the latest FOI data tells us

The latest freedom of information act request provided by HMRC offers a useful snapshot of how Time‑to‑Pay (TTP) arrangements are being utilised, and it’s clear they continue to play a central role in helping individuals and businesses manage short‑term tax and cash flow pressures.

Across the last five financial years, TTP usage has remained consistently high, with Self Assessment, VAT, PAYE and Corporation Tax arrangements all showing sustained demand. Encouragingly, over 90% of TTPs complete successfully, with defaults steady at around 10% – showing that when well‑structured, TTPs remain an effective tool for stabilising cashflow.

Average durations sit between 12 and 18 months depending on tax type, while debt levels reflect ongoing post‑pandemic adjustments, particularly around VAT and PAYE.

For businesses under pressure, early engagement remains key. A well‑prepared TTP proposal can buy valuable time to enable a business to get back on track and prevent HMRC recovery action from escalating.

If clients or stakeholders are experiencing difficulties keeping up with tax liabilities, we can help ensure the right conversations happen at the right time – with a plan that HMRC is more likely to support.