Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether her Department has made an assessment of the adequacy of HMRC-recognised software available for the Making Tax Digital for Income Tax Self-Assessment, including the availability of free and low-cost options; and whether she has made an assessment of the potential merits of HMRC providing free software for this purpose.

The government has worked closely with the software industry to ensure the availability of a broad range of MTD-compatible products to suit different needs and budgets.

This includes free products supporting those with the simplest affairs, low-cost bridging software for those who prefer to continue using spreadsheets and more sophisticated products that integrate with other business software.

Currently, there are more than 20 free products (excluding free trials) covering a range of different scenarios including bookkeeping, quarterly updates and end-of-year submissions.

HMRC is not providing its own MTD solution because commercial software providers are able to provide a broad range of products to meet the differing needs of businesses and landlords, in a way that HMRC is not.