The National Whistleblower Center (NWC) interviewed Richard McConaughey, the HM Revenue & Customs (HMRC) official leading the United Kingdom’s Strengthened Reward Scheme, for an exclusive deep dive on the program.
McConaughey spoke to NWC about how whistleblowers can report serious tax misconduct, what they can expect from the agency, and how HMRC will measure the Scheme’s success. The discussion comes in the context of the United Kingdom facing estimated annual losses of £5.5 billion to £7.1 billion from tax evasion.
McConaughey explained why HMRC wants to work directly with whistleblowers and why he believes compensation should reflect the risks they take by coming forward.
“We need to recognize that as a tax authority, the risk has to be balanced with a level of compensation,” McConaughey said. He explained that whistleblowers may lose their jobs or face changes in their personal circumstances after coming forward.
HMRC launched the Scheme in November 2025 to encourage reports of serious tax avoidance and evasion, including cases involving large companies, wealthy individuals, and offshore arrangements. If a tip helps the agency collect at least £1.5 million in unpaid tax, an eligible whistleblower may receive between 15% to 30% of the tax collected, excluding penalties and interest. HMRC decides whether to pay a reward.
Confidentiality was a main point of focus during NWC’s conversation with McConaughey. HMRC accepts anonymous tips, and mandates that people seeking a reward provide their contact information. The agency claims that it keeps the submitted information confidential and may contact whistleblowers if investigators need more information or if they qualify for a payment. Due to the risk of severe retaliation, these confidentiality protections can play a major role in the decision to report misconduct.
The interview also explored the Scheme’s international reach. McConaughey told NWC that HMRC welcomes information from whistleblowers outside the United Kingdom because tax fraud often crosses borders. He claimed that the agency’s priority is “the quality of intelligence that you’re providing us with to help protect the tax system.”
When discussing how HMRC will judge the success of the program, McConaughey told NWC that preventing losses is as important as paying rewards. He explained that the prospect of an informant coming forward could make people think twice about evading taxes in the first place. HMRC’s hope for the Scheme is that tips will help investigators recover major revenue, and that the possibility of being reported can ultimately deter tax evasion.
