HMRC paid more than £509,000 to individuals providing evidence about tax fraud in 2022-23, up from £f495,000 in 2012-22 and up 75% from the £290,000 paid five years ago, according to research by City law firm RPC.

However, these payments are small given the size of the UK tax Gap and the exchequer could benefit from adopting the US approach of offering far more generous awards to those who provide information about tax evaders, says RPC.

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