HMRC said it is dealing with a larger number of smaller debts than it is has dealt with before. It told us that it had previously took a one-size-fits-all approach to managing debts, but is now trying to vary its approach depending on whether a debtor is in genuine financial distress or is prioritising other spending over paying HMRC. HMRC tries to put those in genuine distress into affordable arrangements to repay the debt, while taking a firmer approach with those that need it. It has increased its debt management service by 700 people to support this, and as of March 2022 had 851,000 taxpayers on Time to Pay arrangements. HMRC now allows taxpayers to create their own Time to Pay arrangement online if they meet certain criteria. The average length of a Time to Pay arrangement has increased from six months to 14 months.28