HM Revenue & Customs (HMRC) has published its latest gender pay report, revealing ongoing progress towards reducing differences in pay between male and female employees. For the reporting period ending 31 March 2025, HMRC registered a mean gender pay gap of 5.0%, down from 5.6% in the previous year. Meanwhile, the median gender pay gap also fell to 5.0%.
These figures remain below both the UK’s overall median of 7.0% and the Civil Service median of 6.4%, reflecting the department’s long-term commitment to equality in the workplace.
The decline has been attributed to targeted efforts to increase representation of women in senior roles and to analyse underlying workforce patterns which affect pay outcomes.
Executive Summary
HMRC has reinforced its dedication to closing the gender pay gap, focusing on a wide range of measures beyond remuneration. The department recognises that a representative and engaged workforce underpins its wider objectives.
According to the new report, the mean gender pay gap dropped by 0.6 percentage points and the mean gender bonus gap reduced by 2.1 percentage points, now at 16.6%. The department’s gender pay gap is below national and wider Civil Service averages, which HMRC credits in part to continuous analysis and clear organisational objectives.
Nonetheless, disparities persist, largely because women are more likely to work in lower-paid roles and men continue to dominate the most senior positions.
HMRC's Ongoing Actions
HMRC continues to implement a range of employment policies and initiatives designed to reduce the gender pay gap. The department has adopted flexible working arrangements and parental leave policies to accommodate diverse family responsibilities.
Support networks, such as staff champions for carers and gender equality, help to embed inclusive practices across the organisation. During the 2024-25 period, the department rolled out new training on preventing sexual harassment and highlighted women’s career progression through dedicated campaigns.
Further actions are planned for 2025-26, including enhancing senior oversight of harassment risks and responding to new legislation on menopause in the workplace.
Gender Pay Gap Reporting Requirements
Since 2017, UK organisations with over 250 employees are legally required to publish annual gender pay gap data. These regulations, stemming from the Equality Act 2010 (Specific Duties and Public Authorities) Regulations 2017, require public sector organisations to disclose mean and median pay gaps, bonus pay gaps, and the distribution of men and women across pay quartiles.
The distinction is made between gender pay gap reporting and equal pay for similar work, the latter being covered by separate legislation. HMRC’s reporting excludes contractors, as per statutory guidelines.
Details of Methodology
HMRC calculates its pay gaps using criteria set out by national guidance. The 2025 report draws on a headcount of 66,947 employees as of 31 March 2025.
Of these, 61,003 were eligible and in-scope for ordinary pay gap calculations, having received full pay during the relevant period, while bonus gap calculations covered 67,794 employees for the year to 31 March 2025.
The department has confirmed compliance with the legislative requirements and accuracy in its reported data.
Structure and Pay Overview
The department follows standard Civil Service grading, ranging from Administrative Assistant (AA) to Senior Civil Service (SCS). Women remain over-represented in administrative grades, which have lower relative pay, while men make up a larger share of senior, higher-paid positions.
As of March 2025, women accounted for 51.8% of the HMRC workforce but less than half of the most senior roles: for instance, 44.2% of SCS positions are held by women. Pay awards for delegated grades are determined through collective bargaining, while SCS pay is managed centrally in coordination with the Cabinet Office.
Final Summary
HMRC’s 2025 gender pay report highlights continued reductions in both mean and median pay gaps, attributable to a combination of policy-driven action and ongoing cultural change.
While the bonus gap has narrowed and core pay gaps remain below wider public sector averages, structural workforce imbalances particularly the under-representation of women in senior roles still present a challenge.
The department has outlined ongoing and enhanced measures for the coming year, including a stronger focus on menopause support and director-level intervention on harassment risks. HMRC's approach exemplifies the progress and remaining barriers facing large public organisations seeking gender parity.
For those tracking public sector equality data, tools like the Pie app help present this information clearly for wider understanding.
