HM Revenue & Customs (HMRC) has signed a multi-year agreement with Capgemini, alongside NiCE and Route 101, to modernise its customer service operations and expand digital services for UK taxpayers.

The move is part of HMRC’s shift to a digital‑first model, with an emphasis on self-service and the use of AI to help people access information and support more easily.

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As agreed, Capgemini, NiCE and Route 101 will consolidate HMRC’s existing systems into a single cloud-native platform. The new set-up is intended to improve efficiency, increase automation and provide more consistent customer interactions.

Capgemini will handle implementation, system design, workflow integration, ongoing support and continuous optimisation.

HMRC will deploy NiCE CXone, described as an AI-powered customer experience platform, on a UK sovereign cloud.

It will be used to manage self-service, support complex citizen journeys and give contact centre staff real-time, AI-based insights while meeting UK data security rules.

Route 101 will deliver professional services for the rollout of NiCE CXone and NiCE Cognigy’s AI capabilities. It will also provide telephony infrastructure via communications provider Gamma to support resilience and scalability.

HMRC staff will gain access to updated tools and real-time information to handle queries more effectively. AI will be used to guide interactions, reduce errors and speed up resolution times.

The department will continue to offer targeted support for people who are digitally excluded, in vulnerable circumstances or dealing with complex enquiries.

Capgemini UK managing director Rob Walker said: “We are honoured to be selected by HMRC as their strategic partner for this critical transformation programme.

“This new agreement reflects the strength of our long-standing commitment to HMRC innovation and our ability to deliver complex, large-scale, AI-powered transformation programmes that create tangible value for citizens.

“In collaboration with HMRC, NiCE and Route 101, we are building a value partnership that goes beyond technology delivery – one that is focused on long-term outcomes, innovation and continuous improvement for millions of users across the UK.”