United Kingdom: mandatory electronic invoicing in April 2029
In an update within the budget report, the government states it will require the use of electronic invoicing for all VAT invoices in business-to-business (B2B) and business-to-government (B2G) transactions as of 1 April 2029.
In January 2026, a detailed collaboration period will begin with stakeholders to design and develop the UK electronic invoicing model, including technical specifications and guidelines for the transition.
Digital Transformation in the United Kingdom: Mandatory electronic invoicing
HM Revenue and Customs (HMRC), the agency responsible for collecting the taxes that fund public services in the United Kingdom, is undergoing its most profound transformation in decades. At the core of this renewal is a clear objective: to modernize the tax and customs system in order to drive economic growth, enhance taxpayer experience, and strengthen tax compliance.
In 2025, HMRC and the Department for Business and Trade (DBT) launched a joint consultation to gather feedback on the standardization of e-invoicing and to boost its adoption across UK businesses and the public sector.
In the UK’s 2025 Budget, the government indicated that electronic invoicing will be mandatory for VAT invoices in B2B and B2G transactions starting 1 April.
The Digital Transformation roadmap lays the groundwork for a long-term goal: to build a tax and customs system that integrates seamlessly into people’s daily lives and business operations. This vision centers on simplicity, with optimized processes supported by technologies such as artificial intelligence (AI), better data integration, and more accessible digital services. For most taxpayers, this will mean quicker and clearer interactions with HMRC. It’s not merely a technological upgrade, it’s a complete reinvention of the tax system.
A major milestone will be the integration of the Valuation Office Agency (VOA) into HMRC, scheduled for April 2026. The VOA is vital to the property tax system in England and Wales, and its integration is expected to reduce administrative costs by 5 to 10%, while also improving services for taxpayers and businesses.
The path toward a digital model requires a deep renewal of the infrastructure. Investments will be made in data platforms, AI, and cybersecurity to streamline services and detect noncompliance in real time. Plans also include simplifying tax rules and filing thresholds, making it easier for people to understand their tax obligations.
Within this broader context, one of the core pillars of reform is the digitalization of administrative and tax processes, particularly the introduction of electronic invoicing as a key tool to enable faster, more transparent, and efficient tax management. This will help reduce administrative burdens, improve transaction traceability, combat tax fraud, and boost operational efficiency across organizations.
The implementation of an e-invoicing system will bring significant changes to the day-to-day operations of British companies. This aligns with well-established trends across many European countries and other global regions where e-invoicing has become a standard that supports automation and enhances financial transparency.
In the long term, the goal is a tax system that connects naturally with the digital tools already used by individuals and businesses. From integrated accounting software to new payment technologies, HMRC envisions a future where tax compliance is automated and nearly invisible. AI will play an increasingly important role, from answering questions and summarizing calls to supporting staff with administrative tasks.
With smarter tools, simpler processes, and a taxpayer-centered approach, HMRC is preparing to deliver a tax system that is fairer, more accessible, and future-ready.
Digitization Strategy in the NHS Healthcare System
The UK Department of Health (DH) is also implementing an e-procurement strategy targeting the National Health Service (NHS) and its suppliers. The primary goal is to streamline and improve the efficiency of goods and services procurement.
This initiative aims to profoundly transform purchasing management in the healthcare sector, making it faster, more efficient, transparent, and secure. The plan is to fully automate the exchange of key supply chain documents such as purchase orders, invoices, credit notes, dispatch notifications, and product data. Digitalizing these processes not only reduces time and human error but also provides much greater traceability of resources, crucial in hospital settings where efficiency can directly impact patient care.
A cornerstone of this strategy is the mandatory adoption of international standards such as GS1 and Peppol. These technical frameworks ensure interoperability between different systems, allowing NHS suppliers to communicate seamlessly, regardless of their platforms. By leveraging these global standards, the DH ensures that the modernization of the UK’s healthcare system aligns with international best practices in supply chain management.
In this context, EDICOM positions itself as a key strategic partner. As an accredited Peppol Access Point, it offers a comprehensive solution that complies with all technical and regulatory requirements of the strategy. Its platform provides a GS1-certified electronic catalog and automation services that allow seamless integration of EDI messages directly into suppliers' ERP systems. This not only speeds up processes but also frees up human resources and improves operational control, paving the way for a truly digital healthcare management model.
