HMRC agrees average settlements of £16,500 with 500 crypto investors under disclosure schemes

Figures published today reveal 502 crypto investors have reached settlements with HMRC over unpaid taxes under disclosure over the last two years.

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A Freedom of Information (FOI) request by Identomat, a UK financial services compliance provider, revealed total settlements over 2024/25 and 2025/26 stood at £8,328,132.

In 2024/25, some 280 individuals reached settlements through disclosure with the total value of settlements recorded at £3,543,387. In 2025/26, the number of these settlements fell to 222 though the total value of settlements climbed to £4,784,745.

The FOI data released to Identomat by HMRC gives the first full-year snapshots of settlements since HMRC began inviting disclosures of unpaid tax relating to exchange tokens, NFTs and utility tokens in November 2023.

Identomat COO Zurab Kotaria commented: “These settlements are part of a broader compliance crackdown by the authorities which has significant implications for both crypto investors and the platforms they use. New rules came into force on January 1, 2026, requiring exchanges to collect detailed transaction records from UK customers, including their gains.

“The UK is among more than 40 countries adopting rules developed by the OECD known as the Cryptoasset Reporting Framework (CARF).

“Platforms must collect each customer’s name, address, date of birth, tax residence, National Insurance number or tax reference, and a summary of their crypto transactions — and report all of this to HMRC or face fines. 

“Non-compliant platforms can face fines of £300 per user record for missing or inaccurate report – which can quickly clock up to millions of pounds for larger platforms.

“Overlapping anti-money laundering rules mean non-complaint platforms face additional penalties from the Financial Conduct Authority (FCA) including removal from the Cryptoasset Register, triggering a requirement to cease trading. One leading platform was fined £3.5million in 2024 for weak onboarding controls.

“As part of the new rules, transaction data is now being compiled into national reports with an expectation that these will be exchanged internationally from 2027 by signatories to CARF.”

Average settlements through disclosure climbed from £12,654 in 2024/25 to £21,552 the following year. Over the two-year period average settlements as a result of disclosure stood at £16,589.

HMRC stated in its FOI response to Identomat that settlements can “vary significantly”, while adding that voluntary disclosure was just one route by which it addresses crypto tax liabilities. Their response said: “HMRC uses a range of approaches to identify and address potential non-compliance in relation to cryptoassets, including enquiries, data analysis and targeted interventions such as nudge campaigns. The figures should therefore be considered in that wider compliance context.” It’s understood nudge letters were sent to approximately 100,000 individuals during the two years covered by the FOI data.

According to the HMRC website, disclosures should include proposals to cover unpaid tax, penalties, interest. HMRC can either send a letter to the taxpayer accepting the offer, or alternatively decline it. In addition to making the appeal public via its website, HMRC also sent “nudge letters” to persons suspected of evading tax on crypto gains.

Typically, disposals of crypto assets can trigger a Capital Gains Tax (CGT) liability. The current annual exemption is now just £3,000 (down from £12,300 in 2023/23) with gains above that taxed at basic rate of 18% or a higher rate of 24% depending on your other income. In circumstances where HMRC considers buying and selling crypto assets to be “trading”, gains can be subject to income tax and national insurance. Individuals are expected to report and pay tax via self-assessment.

“The emerging compliance regime presents significant operational challenges for crypto platforms, many of whom are starting with a blank sheet.

“The task of verifying the identities of millions of existing customers who may have registered in an era of light-touch regulation, combined with the challenge of onboarding of new investors, more often than not requires new tech infrastructure.”

Zurab Kotaria of Identomat