'This is a practical step that paves the way for a better service for taxpayers': HMRC pens £175m deal with Quantexa in data modernization push
The UK AI unicorn will work to improve HMRC’s core data infrastructure
HMRC has awarded a £175 million partnership to UK AI firm Quantexa as the tax office accelerates infrastructure modernization efforts.
The ten-year contract will see HMRC work with Quantexa to modernize its core data infrastructure, reduce tax gaps, and improve operational oversight.
HMRC will also work with Quantexa to set the foundations for future AI adoption, which could improve the organization’s customer service and ability to speed up decision-making and scale out its automated error detection.
“Governments around the world are facing a common challenge: how to turn complex, fragmented data into confident, timely decisions,” said Vishal Marria, founder & CEO at Quantexa.
“By creating context from data and embedding trusted, governed AI, we are helping HMRC improve how public sector organizations make confident, informed decisions. This is a blueprint for how the UK government deploys AI at scale.”
In its announcement, Quantexa pointed to its Decision Intelligence Platform as a core offering that helps organizations to consolidate data and leverage it for advanced analytics.
“Quantexa is at the forefront of British innovation, developing the technologies we need to power next generation digital public services that are smarter and more secure. This partnership will help HMRC to deploy AI safely at scale, bringing its data together to support better decisions, improve efficiency and deliver a stronger service for taxpayers,” said Kanishka Narayan, AI minister within the UK government.
“By using advanced data tools to identify risks and automate routine tasks, HMRC can focus its efforts where they matter most. This is a practical step that paves the way for a better service for taxpayers.”
Home-grown AI expertise
Since it was founded in 2016, Quantexa has risen to the forefront of the UK AI market.
The London-based startup became a unicorn in 2023, reaching a valuation of $1.8 billion, and shortly after announced plans to invest £85 million in the UK and open an AI Innovation Center.
In 2024, PwC UK partnered with Quantexa in a push for more automated decision-making and aggregation of third-party data, with a focus on deploying the firm’s Decision Intelligence Platform throughout PwC UK’s infrastructure.
As sovereign AI becomes a greater focus for businesses around the world, and particularly for those in the UK, Quantexa is reaping the rewards.
As a regional specialist, these high-profile deals come with assurances for UK enterprises that their AI systems meet all data sovereignty requirements.
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