The United Kingdom’s tax authority has launched a targeted compliance initiative focusing on more than 200 billionaires with UK tax obligations, aiming to recover £500 million in revenue as part of broader efforts to address tax avoidance among the wealthy. HM Revenue and Customs (HMRC) announced the move shortly after the UK budget statement on Wednesday.

For the first time, HMRC has compiled a dedicated list of billionaires required to pay taxes in the UK, irrespective of their official residency status. This measure seeks to narrow the so-called “wealthy tax gap,” which arises from high-net-worth individuals not fully disclosing all taxable assets and income.

Each billionaire on the list will be assigned a customer compliance manager (CCM) to closely oversee their tax affairs. Due to the often complex and international nature of billionaire financial holdings, HMRC noted the importance of early and coordinated engagement to better manage compliance. The CCMs will engage in voluntary discussions with these taxpayers before filing deadlines with the goal of reaching a clearer understanding of their UK tax positions and streamlining future interactions.

In addition to personal oversight, HMRC plans to deploy advanced technology, including artificial intelligence, automated risk triggers, and sophisticated analytics, to monitor wealthy individuals. This technology will focus on taxpayers with incomes exceeding £200,000 or assets valued above £2 million in any of the last three years. HMRC stated this approach will enhance its ability to identify risks earlier and direct resources where they can have the greatest impact.

The wealthy tax gap for the fiscal year 2024-25 is estimated at £3.6 billion, representing about 6% of the total UK tax gap among all taxpayers. HMRC views its billionaire compliance program as a contributing factor to a larger goal of raising an additional £10 billion in tax revenues by 2030.

The initiative follows scrutiny from the parliamentary public accounts committee, which in mid-2025 questioned HMRC’s understanding of tax compliance among roughly 1.3 million wealthy taxpayers. Legal experts have welcomed the increased focus. Adam Craggs, head of tax, investigations, and financial crime at law firm RPC, advised taxpayers earning over £200,000 annually or holding net assets above £2 million to carefully review their tax affairs and their communication with HMRC.

This targeted approach reflects HMRC’s commitment to more rigorous enforcement and enhanced cooperation with high-net-worth individuals to ensure tax laws are properly applied.