81,000 warning letters sent to crypto holders in HMRC tax crackdown – BBC News
BBC Homepage
Accessibility Help
Your account
Home
News
Sport
Earth
Reel
Worklife
Travel
Culture
Future
Music
TV
Weather
Sounds
BBC News
Climate
World
UK
Business
Tech
Science
Entertainment & Arts
Health
In Pictures
BBC Verify
Newsbeat
Tech
81,000 warning letters sent to crypto holders in HMRC tax crackdown
Image source: Getty Images
By Joe Tidy Cyber correspondent, BBC World Service
Published 23 minutes ago
HM Revenue and Customs (HMRC) sent more than 81,000 letters warning cryptocurrency holders they may owe capital gains tax in the past year, according to a Freedom of Information (FOI) request seen by the BBC.
A growing concern
The number of letters sent by the tax authority had almost tripled since 2024, highlighting the growing concern among tax authorities about cryptocurrency investment and potential tax evasion.
"There is the expectation amongst tax authorities that cryptocurrency investment is rife with tax evasion," states Neela Chauhan, partner at UHY Hacker Young, who carried out the FOI.
2025-26 figures
In the 2025-26 financial year, HMRC sent 81,172 warning letters, emails, and text messages to crypto investors it suspects may have underpaid tax. This marked a stark contrast with 27,714 warnings sent in 2023-24.
The surge in warnings comes as the value of cryptocurrencies like Bitcoin and Ethereum has fluctuated significantly. The price of Bitcoin, for instance, reached a peak of around £90,000 in October 2025 before falling to around £48,000 in the following year.
Upcoming changes
Accountants are advising investors to check their tax obligations, as upcoming changes will empower HMRC to target individuals more effectively. From March 2027, cryptocurrency platforms worldwide will be required to share customer data with tax authorities, potentially making it "like shooting fish in a barrel" for HMRC when investigating crypto investors, as Ms Chauhan warns.
The tax office estimates these changes could raise up to £315 million by April 2030, funding initiatives such as employing more than 10,000 newly qualified nurses for a year.
