HM Revenue and Customs (HMRC) opened a new digital delivery facility in Newcastle earlier this week.
According to the government, the centre is intended to “revolutionise” the way the Department does business by moving more services online for customers.
It was decided a dedicated digital facility was required when it was revealed that more than a quarter of a million citizens are renewing their tax credits online this year.
“Being digital by default not only means creating simpler and better services for millions of HMRC customers, but saving taxpayers’ money in the process too,” claimed Financial Secretary for the Treasury David Gauke at the centre’s opening.
“It’s a privilege to open the new HMRC digital delivery centre in Newcastle today, which is pioneering the way in making services better and cheaper.
“I look forward to seeing the results of its innovative work in the coming months and years,” he added.
HMRC claims that the new facility will be pivotal in developing more online service for UK citizens such as online tax accounts and digital self-assessment.
It adds that the 276,000 people renewing tax credits online provides scope for the rapid expansion of the Department’s services to operate online.
The government claims that HMRC customer feedback shows 95% are satisfied with the online tax credits service.
The Department handles 1.5bn transactions every year, which makes up 70% of all government transactions.
Of the 304m PAYE transactions, 95% are completed digitally, while 85% of the 20m VAT transactions are completed digitally.