London Employers Named as Top Tax Defaulters with £251 Million Owed to HMRC
London's most significant tax defaulters have been publicly identified by HM Revenue and Customs (HMRC), with outstanding demands totaling an unprecedented £251 million last year. This staggering amount represents more than triple the figures recorded in any previous year, highlighting a severe escalation in tax non-compliance within the capital.
Record-Breaking Penalties and Defaults
A total of 184 companies based in London were named and shamed by HMRC in 2025 for deliberately defaulting on their tax obligations. These firms collectively received £99 million in penalties for skipping £152 million in taxes. This marks a dramatic increase from combined defaults and penalties of £82 million in 2024, £81 million in 2023, and £27 million in 2022.
The government has maintained a policy since 2015 of regularly publishing the names and addresses of individuals or companies who deliberately default on tax exceeding £25,000. This list specifically targets those penalized for deliberate errors in their tax returns or deliberately failing to comply with their tax obligations.
Tax defaulters can avoid inclusion on this public list if they fully disclose details of their defaults to HMRC. However, naming and shaming occurs only once penalties are finalized. Nationally, the defaulters list for 2025 reached £533 million in combined tax and penalties, more than double the £209 million published in 2024.
Campaigners Demand Stronger Action
Despite these record figures, campaigners argue that the government should intensify its efforts. Mike Lewis, director of TaxWatch, emphasized the scale of the issue, stating, "Half a billion pounds is roughly the cost of a GP appointment for every child in the UK. It's time HMRC got serious about prosecuting tax evaders. There were more people prosecuted last year for fishing offences than for tax fraud."
Lewis urged HMRC to enhance its pursuit of rogue accountants and tax advisers who either ignore unpaid tax or actively collude in evasion. He added, "To our knowledge HMRC has never used its powers to name dishonest tax advisers and tax agents - and has fined fewer than five of them in the last five years."
An HMRC spokesperson responded, "We are committed to tackling those who deliberately default on the tax they owe. By publishing the names of deliberate defaulters and their penalties, we send a clear message that non-compliance has consequences."
Notable Cases Among London Defaulters
The largest fine published last year was imposed on Hive 360 Employer Limited, officially named 10442565 Ltd. This management consultancy firm, with bases in both Birmingham and London, defaulted on £87.5 million worth of tax between February 2019 and January 2024.
They received a penalty of £56.9 million, resulting in a total payment demand of £144.4 million to HMRC. This constitutes the highest combined default and penalty for any company on the list over the past decade.
Three other "Hive 360" companies operating from the same London address also appeared on the defaulters list for defaults occurring between February 2019 and July 2023:
- Hive 360 001 Limited defaulted on £4.4 million of tax, incurring a £2.8 million penalty.
- Hive 360 002 Limited defaulted on £10.1 million of tax with a £6.5 million penalty.
- Hive 360 Limited defaulted on £545,000 of tax with a £354,000 penalty.
Collectively, these companies amassed over £169 million in total tax and fines. All have since entered insolvency.
Other Significant Defaulters in the Capital
Property developer Hasan Nawaz Sharif emerged as London's next largest defaulter, listed in March for defaulting on £9.4 million of tax between April 2015 and 2016, with a penalty of £5.3 million.
Squibb Group Limited, a demolition company from Barking in London, defaulted on £8.2 million of tax between February 2011 and January 2015, receiving penalties of £6.2 million. This company has also gone into liquidation.
Software firm Residently Services (UK) Limited received a £1.4 million penalty for defaulting over £1.9 million worth of tax between 2019 and 2023.
Additional notable defaulters include:
- GFP Payroll Ltd with penalties and defaults totaling £2.7 million
- Risingstar Convergent Ltd with a total of £2.5 million
- Advance Global Management Ltd with a total of £2.4 million
- Ammos London Limited with a total of £2.2 million
- Elbrook (Cash and Carry) Limited with a total of £2.0 million
Important Context and Limitations
The list of companies published by HMRC includes only those penalized under civil procedures and excludes criminal convictions for tax fraud. HMRC notes that some of the money owed may have been repaid, and the list "does not necessarily represent the full default of the taxpayer."
Company names reflect the time of the tax default. HMRC emphasizes that published individuals may have changed their behavior, and businesses at the listed addresses might share names with defaulters but operate under completely new management.
