Beware of UK Tax Refund Scams! Overview of London Rail Service Changes During Christmas and New Year; Interest Rate Cut to 3.75% to Boost the Economy
- TBA
- Dec 22, 2025
- 5 min read
HMRC Warns of Over 135,000 Scam Reports
The filing and payment deadline for the 2024/25 tax year is 31 January 2026. As the deadline approaches, HM Revenue & Customs (HMRC) has received a growing number of reports related to scams.
HMRC has issued a warning stating that since February 2025, it has received more than 4,800 reports of scams related to Self Assessment filings. Over the past ten months, HMRC has received more than 135,500 reports of suspected fraud, including around 29,000 fake tax refund scams.
According to HMRC, fraudsters often target periods when taxpayers are more likely to expect official communications. They use threatening or highly persuasive tactics, sending fake tax payment demands or pressuring victims to provide personal and financial information.
In response, HMRC urges the public to remain highly vigilant and stresses that any emails, text messages, or phone calls claiming to be from HMRC should be verified via the official website GOV.UK.
Lucy Pike, HMRC’s Chief Security Officer, said: “Millions of people submit tax returns every year, and criminals deliberately impersonate HMRC to try to trick unsuspecting victims. If you receive any suspicious emails, texts, or phone calls, do not click on links or share personal information—report them to HMRC immediately. Simply search for ‘report an HMRC scam’ on GOV.UK for guidance.”
HMRC also stated that over the past ten months it has swiftly shut down and removed nearly 25,000 fake websites and scam phone numbers, and reiterated that HMRC will never:
Threaten legal action or arrest via voicemail
Ask for personal or financial information by text or email
Contact taxpayers by email, text, or phone to say they are owed a tax refund or to request that they apply for a refund
Bank of England cuts interest rates to 3.75%
The Bank of England announced last week that it had cut its benchmark interest rate by 25 basis points, from 4% to 3.75%, providing a modest boost to the UK’s sluggish economy ahead of Christmas. This also marks the sixth rate cut since the Labour Party came to power last year.
However, the decision was passed by the Monetary Policy Committee (MPC) with a narrow 5–4 vote, indicating that concerns about the inflation outlook remain. Bank of England Governor Andrew Bailey noted that there is still uncertainty over the pace of any further rate cuts.
In simple terms, a rate cut by the Bank of England lowers the cost of borrowing in order to stimulate the economy. It mainly means the following:
1. Cheaper borrowing
When the benchmark rate falls, interest rates on mortgages, business loans, and some consumer credit typically decline as well, helping to ease repayment pressure on households and reduce financing costs for businesses.
2. Boosting consumption and investment
Lower borrowing costs encourage households to spend and businesses to invest and expand, supporting economic growth—particularly important during periods of slowdown or weakness.
3. Countering downside economic risks
Rate cuts are often seen as a central bank response to a weakening economy, aimed at preventing recession or prolonged stagnation.
4. Impact on exchange rates and asset prices
Lower interest rates may put pressure on the pound, while supporting asset prices such as equities and property, though they can also reduce returns on savings.
However, the four MPC members who voted against the cut argued that services inflation remains strong, and survey data suggest that wage growth may stay elevated in the coming months. This raises the risk that inflation could become entrenched due to “persistent changes in wage and pricing behaviour.” Surveys by the Bank’s regional agents show that employers expect wage growth of around 3.5% in 2026.
The rate cut was broadly in line with market expectations. Official UK data show that inflation fell to 3.2% in November from 3.6% in October, driven by easing food prices. Although inflation remains above the 2% target, the Bank of England believes the worst phase of inflation has passed.
Chancellor Rachel Reeves responded by saying that a series of anti-inflation measures introduced in the November Autumn Budget were partly intended to create room for further rate cuts. She said: “This is the sixth rate cut since the general election and the fastest pace of rate cuts in 17 years. It is good news for households with mortgages and businesses with loans. But I know there is still more to do to ease the cost-of-living pressures.”
Christmas rail closures and service disruptions in London
As Christmas and New Year approach, passenger numbers are typically lower during the holiday period, and London and surrounding areas will see a series of rail closures, engineering works, and reduced services. If you plan to travel, please make arrangements in advance to avoid disruption—especially if you are travelling to or from central London and major transport hubs.
Below is a summary of rail service changes in London during the Christmas and New Year period:
Christmas Day (25 December): Complete shutdown
On 25 December, all public rail services will be suspended, including National Rail, London Overground, and most other rail lines.
Liverpool Street Station: 25 December – 1 January
Due to Bishopsgate Tunnel works and station roof refurbishment, there will be no trains in or out of Liverpool Street Station from 25 December to 1 January.
Greater Anglia services will start and terminate at Stratford instead.
Some London Overground services will start and terminate at London Fields.
London Waterloo & Vauxhall Stations: 27–28 December
From 27 to 28 December, Waterloo and Vauxhall stations will be closed to all train services.
Trains will instead start or terminate at Clapham Junction.
Partial services will resume on 29 December.
Battersea – Queenstown Road Station: 27 December – 4 January
Due to engineering works around Waterloo, Queenstown Road Station will be closed from 27 December to 4 January.
London Overground Mildmay Line: 25 December – 5 January
The London Overground Mildmay line (Camden Road to Richmond / Shepherd’s Bush) will be closed for around 11 days during the holiday period for major track upgrade works.
Rail replacement services will operate on some sections.
Passengers are advised to check the latest service updates, cancellations, and changes before travelling via National Rail Enquiries, journey planning tools, and individual train operators’ websites.
During the Christmas holiday period, please allow extra travel time, as some routes may require rail replacement bus services. Also, be sure to check last train times on Christmas Eve (24 December) to avoid disruption to your journey.
TBA UK Tengbang Accountancy wishes you a Merry Christmas and a Happy New Year! 🎄✨
Why TB Accountants?
Professional Assurance: Our team includes ACA members and ACCA-certified professionals, delivering services to the highest industry standards.
Responsive Service: We respond to your inquiries within 24 hours, ensuring efficient communication across time zones.
Multilingual Support: Services available in English, Mandarin, Cantonese, Japanese, French, German, Spanish, Italian, Turkish, and more.
Trusted by Clients Worldwide: Consistently praised by global clients for proactive, professional, and reliable accounting and tax support.
For individuals and businesses looking for UK taxation services, use our contact form to get in touch for more information.
Get in touch with us at info@tbagroup.uk or for a free one-to-one consultation.
