Poll shows 30% of firms not ready for RTI

By MHA

09 Apr 2013

Website

Almost one in three businesses are not ready for the biggest change to payroll since PAYE was introduced in 1944, according to a poll by Moore and Smalley.

The online survey revealed that 30 per cent of businesses that took part in the survey were unprepared for Real Time Information (RTI) reporting that came into force on April 6.

RTI is a radical change in the way employers report pay, tax and national insurance contributions (NICs) to HM Revenue and Customs (HMRC). Until now this has been an annual task carried out around May, at the end of the tax year.

However, from this month, most employers must report these details every pay day – or face stiff penalties expected to start at £100.

Margaret Merrifield, payroll services manager at Moore and Smalley, believes the results of the poll reflect a disturbing level of complacency about complying with HMRC rules among some of the region’s businesses.

She said: “RTI reporting is here to stay and requires substantial management resources to implement and maintain. There is no escape clause or hiding place for employers who fail to comply.

“Late-filing penalties for RTI will apply to each PAYE scheme, with the size of the penalty based on the number of employees in the scheme. This means different-sized penalties will apply to micro, small, medium and large employers.”

HMRC is prepared to be lenient during the introduction of RTI, but Margaret warns that businesses should not take this for granted.

She explained: “Businesses will be allowed one unpenalised default each year, but will be charged a penalty for all subsequent defaults. Penalties will be charged quarterly, and subject to the usual reasonable excuse and appeal provisions.”

Employers must also ensure the data they submit is accurate, otherwise employees could end up not receiving the correct amount of Universal Credit, or attracting unwelcome attention from HMRC regarding personal data issues, tax deductions and benefit issues.

Margaret added: “RTI will enable HMRC to see how much PAYE it is owed at any given time, which may result in employers being pursued at a much earlier stage than under the old regime. “Traditionally, businesses with financial issues have delayed PAYE payments to help their cash flow, but this will be more difficult when HMRC has direct visibility of the debt. As a result, some businesses may be pushed into insolvency.”

Enjoyed this? Read more from MHA

Latest news

1

McMurrays Haulage expands fleet after contract win Warehouse Supervisor at Pets Choice Brad Eddleston and McMurrays Sales Manager Rob Spencer. Photo credit: McMurrays Haulage Limited

McMurrays Haulage expands fleet after contract win

21 Oct 2025

2

Dragons' Den star to shine on Lancashire Business Day Derry Green

Dragons' Den star to shine on Lancashire Business Day

21 Oct 2025

3

Eden Project Garden at RHS Chelsea Flower Show 2026 marks 25th anniversary Eden Project garden

Eden Project Garden at RHS Chelsea Flower Show 2026 marks 25th anniversary

21 Oct 2025

4

Lancashire farm named 'Family Farming Business of the Year' British Farming Awards

Lancashire farm named 'Family Farming Business of the Year'

20 Oct 2025

5

Breck Homes appoints new managing director Phil Dolan, Breck

Breck Homes appoints new managing director

20 Oct 2025

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
CMI Level 5 Project Management Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Project Management Course

Preston Campus, Preston, PR1 2HE

08:00 - 17:00

CMI Level 5 Management and Leadership Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Management and Leadership Course

Preston Campus, Preston , PR1 2HE

09:00 - 17:00

Help to grow management course
Help to grow - barriers to growth.png.png
LBV Hub Seminars
26 Sep 2025 - 16 Dec 2025

Help to grow management course

Preston Campus , Preston , PR1 2HE

09:00 - 15:00

RISE - Lancashire's unique leadership programme for women
thumbnail_Emma Weston Illustration WENDY BOWERS RISE Illustrstion.jpg.jpg
LBV Hub Seminars
22 Oct 2025 - 18 Mar 2026

RISE - Lancashire's unique leadership programme for women

East Lancashire Chamber of Commerce, Clayton le Moors, BB5 5JR

09:30 - 15:30

Women scaling up Blackpool Fylde and Wyre
LBV Hub Seminars
22 Oct 2025 - 09 Jan 2026

Women scaling up Blackpool Fylde and Wyre

The Small Business Academy, Blackpool, FY4 5JX

09:30 - 15:30

Chamber Business Lunch – October
LBV Hub Networking
24 Oct 2025 - 24 Sep 2025

Chamber Business Lunch – October

Lancaster Golf Club, Lancaster, LA2 0AJ

11:00 - 13:30

North West Business Expo 2025
https---cdn.evbuc.com-images-880456273-4862066883-1-original.20241022-105445.jpeg.jpg
LBV Hub Exhibitions
24 Oct 2025 - 24 Oct 2025

North West Business Expo 2025

Bolton Stadium Hotel, Bolton, BL6 6SF

09:00 - 15:00

Lancaster District Business Support Expo
Lancs-cham-logo.jpg.jpg
LBV Hub Networking
29 Oct 2025 - 29 Oct 2025

Lancaster District Business Support Expo

The Platform, Morecambe, LA4 4DB

10:00 - 15:00

Chamber Breakfast Networking – November
Lancs-cham-logo.jpg.jpg
LBV Hub Networking
06 Nov 2025 - 06 Nov 2025

Chamber Breakfast Networking – November

Porsche Centre South Lakes, Carnforth, LA6 1FW

08:30 - 10:30

Lancashire Police business update with The Police and Crime Commissioner
Lancs-cham-logo.jpg.jpg
LBV Hub Roundtables
10 Nov 2025 - 10 Nov 2025

Lancashire Police business update with The Police and Crime Commissioner

Lancaster Castle, Lancaster, LA1 1YN

14:00 - 16:00

Beyond the Brand: Building trust through values and integrity
1.png.png
LBV Hub Networking
11 Nov 2025 - 11 Nov 2025

Beyond the Brand: Building trust through values and integrity

Society1, Coworking Space, Preston, PR1 3LT

18:00 - 20:00

AI, Creativity, and what it means to be human
2.jpg.jpg
LBV Hub Networking
11 Nov 2025 - 11 Nov 2025

AI, Creativity, and what it means to be human

Society1, Coworking Space, Preston, PR1 3LT

18:00 - 20:00

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV124 Online Graphic
Subscribe now

Weekly news bulletin