NAO offers encouragement to HMRC overhaul, in spite of IT gremlins

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Poor staff morale, funding constraints and changing priorities pose the biggest challenges for HM Revenue & Customs' transformation programme, according to a National Audit Office report issued last week. John Stokdyk presents a summary of the evidence.

Following the recent publication of its qualified audit of HMRC's annual accounts for 2007-08, the NAO has looked through spending and delivery patterns for HMRC's corporate overhaul since HM Customs and the Inland Revenue merged in 2004.

At the time of the merger the government set the new department a target to reduce staff numbers by 12,500 posts, redeploy a further 3,500 staff and make a total annual efficiency s...

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