UK businesses are facing growing financial pressure as concerns over business rates reach record levels, while taxpayers increasingly turn to digital tools — and still leave filings until the last minute.
Here’s what the latest data reveals about the current state of the UK tax landscape.
Business Rates Anxiety Hits Record High
A third of UK businesses are now concerned about business rates, according to the British Chambers of Commerce — the highest level ever recorded.
The pressure is most severe in:
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hospitality
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manufacturing
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logistics
Businesses report that rising costs are:
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forcing price increases
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delaying expansion plans
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putting long-term growth at risk
The BCC has urged the government to rethink its planned changes, warning that the current system is “holding back growth” and leaving some sectors dangerously exposed.
HMRC App Sees Rapid Growth in Usage
At the same time, digital adoption is accelerating.
According to HMRC:
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4.2 million people downloaded the app in 2025
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total users reached 7.18 million
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logins rose to 136 million (up 20% year-on-year)
Notably, usage is increasing among older users, particularly for:
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State Pension forecasts
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National Insurance tracking
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Child Benefit management
This reflects a clear shift toward self-service tax management in the UK.
Thousands Still File Tax Returns Over Christmas
Despite growing digital convenience, filing behaviour tells a different story.
More than 4,700 taxpayers submitted returns on Christmas Day, with over 37,000 filings between 24–26 December.
Peak activity times included:
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Christmas Eve: late morning
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Christmas Day: early afternoon
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Boxing Day: mid-afternoon
With the deadline set for 31 January, the data highlights a familiar pattern — many taxpayers still delay filing until the last possible moment.
What This Means for Businesses and Taxpayers
These trends point to a shifting but pressured tax environment:
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Businesses are facing rising cost burdens that may impact pricing and growth
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Digital tools are becoming the default way to manage tax affairs
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Behavioural patterns show continued reliance on last-minute compliance
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Policy changes in 2026 could further reshape the landscape
Final Insight
While the UK tax system is becoming more digital, financial pressure on businesses continues to build.
Understanding both the economic signals and behavioural trends will be key to making smarter financial decisions in 2026.
Need Support Navigating UK Tax Changes?
If rising costs or upcoming changes are affecting your business strategy, now is the time to act.