HMRC updating its list of tax avoidance schemes more often than using it to 'name and shame' new arrangements in October 2025 is reassuring contractor experts.
One such expert, Graham Webber, who assists contractors with the loan charge, says that whether it's an update or a new entry, the list shows avoidance is clearly in rude health.
'More profitable than selling shoes'
Referring to the list now exceeding 200 entries, WTT Group's co-founder Mr Webber told ContractorUK: "It seems that selling tax avoidance is more profitable than selling shoes!"
Webber was speaking on the day budget retailer Shoe Zone announced the closure of 36 high street stores.
Online, there have been hopes that Joint and Several Liability for clients of umbrella companies — which schemes masquerade as — might cause 'payroll pirates' to flee.
'Tax avoidance schemes may step ahead of JSL rules from April 2026'
But contractors should be on guard for precisely the opposite (even if fewer new schemes were listed in October than had their entries updated), according to Meredith McCammond.
"The key takeaway for workers is that some schemes may even try to step things up in the run-up to April 2026," McCammond, technical tax officer at LITRG warned ContractorUK.
"So with the JSL legislation looming and being introduced from then — the start of 2025/26 — checking your provider, your payslip, and HMRC's list, remains a very wise precaution."
'First-time contractors need to read HMRC's avoidance blacklist'
The problem is, however, that the list of avoiders would be most useful to the very people who are most likely to be 'in the dark' about its existence, says a former Revenue official.
"Experienced contractors do a very good job of keeping safe without needing to regularly check the so-called 'naughty list,'" the ex-tax officer, Carolyn Walsh, began to ContractorUK.
"Rather, it's first-timers to contracting who we should worry about. But then again, they would very likely not have heard about the HMRC resource in the first place!"
'Change of scheme ownership'
Even if they do stumble upon the HMRC list, newcomers to contracting would be even less likely to notice the list's 'updates,' of which six were made by HMRC in October 2025.
The six related to Acquda Limited, Balance Bay Limited; Balance Bay Services Limited, Employe Limited, Employe US Limited, and Miwsa Limited.
HMRC updates the "Current list of named tax avoidance schemes, promoters, enablers and suppliers," for many reasons.
For example, HMRC may "have knowledge of a change of ownership of the scheme," or it might have more information on how the blackmarked arrangement operates.
'Limited value from HMRC'
"That'd be useful for all of us," continued WTT's Mr Webber, referring to extra operational details, "because HMRC simply saying 'We think it doesn't work' is of limited value."
Updates to the avoidance list might be made in the event "HMRC is close to legal action," and is "preparing the ground" for that action, said Webber, adding:
"Whatever the reason [behind an updated entry], keeping this issue live and in the mind of potential users has to be a good thing."
'JSL will ultimately kill off disguised remuneration'
Speaking last night from the Low Incomes Tax Reform Group (LITRG), Ms McCammond was supportive too.
"Although the ever-growing number of entries is depressing, I'm glad to see HMRC regularly updating the list to help raise awareness and protect workers," she said.
"Even though it's reasonable to assume that JSL will ultimately kill off disguised remuneration, it's important that HMRC don't take their foot off the gas at this point."
Former tax inspector Ms Walsh echoed that the April 2026 rules will be a game-changer (although other experts believe the JSL rules will complement the list, not retire it).
'Dodgy umbrella companies and rogue agencies'
The boss of Oblako Ltd, Walsh said: "Dodgy umbrella companies and rogue agencies have for decades made their tidy margins knowingly leaving workers with a tax debt.
"At the same time, some workers intend never to pay tax, knowing HMRC will never catch up with them. It is immoral to the nth degree."
"Yet these providers will always continue to exist in the marketplace. One thing, though, are they 'shamed' about being 'named'?
"Of course not. The people they trade with usually do not care about what they have done in the past. But obviously the new umbrella company legislation will put paid to that."
HMRC's three new stop notices as of October 2025
In October 2025, HMRC added four new arrangements to its avoidance list (T.U Paye Limited, Echo Pay Limited; Contractor Expert Ltd, Progress Payroll Ltd).
It also published "Stop Notices" on the promoter and arrangement of an already blacklisted scheme run by Langan Scott & Co Limited, and published a stop notice on the promoter of another already blacklisted scheme run by Green Light Payroll Services Limited.
