UK government seeks open banking revamp for HMRC

The UK’s HM Revenue & Customs (HMRC) has issued a government tender specifically tailored around the provision of open banking services.

HMRC is hoping to automate its payment processes

Worth £3 million, the government contract concerns “Payments Initiation and Account Information Services”.

HMRC says it wants people to pay it by bank transfer using a “secure, simple and efficient process”.

The bank transfer process at HMRC is currently “non-automated”. Any potential winner of the new contract would deliver “enhanced and tailored financial services”.

Payment Initiation Services (PIS) allow a user to pay companies directly from their bank accounts, rather than having to use the details on a debit or credit card.

HMRC is looking to reduce the amount of “resource intensive” customer errors it receives. “We believe we can encourage card payers to move to this more cost-effective method and subsequently reduce our payment associated costs significantly.”

The government is accepting up to 10 potential bidders for the £3 million contracts, and applications close on 7 September. The project kicks off in February 2021.