28 January 2025
In an email from HM Revenue and Customs’ (HMRC’s) Software Developer Support Team (SDST), it has been confirmed that the additional hours worked data, planned for 2026, will no longer go ahead.
What is the latest update on RTI hours?
The email from the HMRC about the additional RTI hours requirement which was planned for 2026 reads:
“Employers will no longer be required to provide more detailed employee hours data through Pay As You Earn (PAYE) Real Time Information (RTI) returns from April 2026 as previously proposed. The government has listened to feedback and acknowledges the potential administrative burden highlighted by businesses. Therefore, the draft Income Tax (Pay As You Earn) (Amendment) Regulations 2024 intended to bring in these new requirements will not be progressed further. The current requirement for employers to report normal hours worked will continue.
The government remains committed to data transformation and will continue to focus on other initiatives delivering improved data, including Making Tax Digital for ITSA, digitalising business rates, and investing in our IT infrastructure”
Impact on the payroll profession
Feedback from our members indicated that such changes would substantially increase burdens and cause difficulties, particularly for smaller employer. It is therefore welcome to many payroll professionals that this has been reconsidered.
The CIPP will continue to work with HMRC and ministers to ensure that payroll professionals are considered with all future legislative and process changes.
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