HMRC and Capgemini Build AI Tax Service Platform

HM Revenue & Customs (HMRC) is advancing a major customer operations transformation through a multi-year contract with Capgemini, bringing together AI, cloud technology and customer experience tools to support millions of taxpayers across the UK.

The programme focuses on modernising the way HMRC delivers services while simplifying operations that currently rely on legacy infrastructure. Through a partnership that also includes NiCE and Route 101, the department is consolidating existing systems into a unified cloud-native platform.

For finance leaders, the initiative highlights the growing use of AI-powered customer experience technology across large public sector organisations. 

HMRC is one of the largest customer service organisations in the UK, supporting individuals and businesses every year. As citizen expectations evolve, the department is adopting a more digital-first approach to service delivery.

Capgemini provides transformation expertise, while NiCE contributes its customer experience AI platform and Route 101 delivers specialist implementation capabilities.

AI, cloud and customer service at scale

A central part of the programme is the deployment of NiCE CXone, an AI-powered customer experience platform. 

The platform is deployed on a purpose-built UK sovereign cloud. The architecture supports compliance with UK data security requirements while enabling advanced digital services.

The platform allows HMRC to orchestrate intelligent self-service, streamline complex citizen journeys and support contact centre operations with real-time AI-driven insights. Self-service capabilities give taxpayers more opportunities to find information and complete tasks independently, while AI-generated insights help advisers and service teams respond more effectively.

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

Rob Walker, Managing Director at Capgemini in the UK, says: “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.”

The programme combines technology delivery with a focus on operational outcomes, creating a framework that supports adaptability as taxpayer requirements continue to evolve.

Route 101 and NiCE support the transformation

Alongside Capgemini, both NiCE and Route 101 play important roles in delivering the programme.

NiCE provides CXone and the wider AI capabilities that support the customer experience strategy. The company also contributes technology intended to improve service delivery while maintaining security and enterprise-grade performance.

Darren Rushworth, President of NiCE International, says: “HMRC serves every taxpayer in the United Kingdom and the scale and importance of its contact centre operations demand a platform built for enterprise-grade performance, security and AI-led innovation.

“CXone is uniquely positioned to deliver on that mandate, helping HMRC modernise service delivery and raise the bar for citizen experience. In partnership with Capgemini and Route 101, this engagement demonstrates the strength of our partner strategy, combining deep expertise and leading technology to deliver meaningful outcomes at national scale.”

Route 101 provides professional services for the implementation of NiCE CXone and NiCE Cognigy. Cognigy is a conversational AI capability that supports automated interactions between organisations and customers.

The company also delivers critical telephony infrastructure through communications provider Gamma. This infrastructure helps ensure resilience and scalability, particularly during periods of high traffic volume, supporting continuity of service for taxpayers.

Benefits for taxpayers and HMRC teams

The transformation is designed to improve outcomes for both taxpayers and HMRC employees.

For taxpayers, the CX AI solution provides an intuitive, reliable and responsive service. It aims to reduce waiting times through streamlined customer journeys while expanding self-service options and channel choice. 

The platform also supports accurate and clear information tailored to specific requirements during interactions. Personalised and consistent experiences are intended to make compliance with tax rules easier for individuals and businesses.

HMRC colleagues also gain access to improved tools and real-time information. Advisers receive relevant knowledge when it is needed, with AI helping to guide interactions and reduce errors. This support enables faster query resolution and contributes to a better overall customer experience.

Fiona Virtue, Head of Public Sector at Route 101, says: “At the heart of this programme is a commitment to better serve the public.

“By combining technology with human insight, we’re helping HMRC create more seamless, accessible experiences that support people and businesses and strengthen confidence in the services that underpin the UK economy.”

While the department continues its digital-first strategy, targeted support remains available for customers who need additional assistance. This includes digitally excluded individuals, people in vulnerable circumstances and those with more complex enquiries.

The result is a transformation programme that combines AI, cloud infrastructure and customer experience technology with human support, creating a new operating model for taxpayer services across the UK.