Annual snapshot from HMRC comes as public finances are under biggest strain since the second world war

The amount of tax lost in Britain through non-payment, avoidance and fraud has increased to £35bn, according to official figures.

HM Revenue and Customs said the tax gap – the difference between the expected income for the exchequer and actual receipts – was estimated to have jumped by about £2bn in the 2019-20 financial year from the period a year earlier.

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