Saturday, February 1, 2025

Barclays Faces Significant IT Breakdown on HMRC Deadline Day

Barclays Bank customers are facing a frustrating situation. Since the early morning of January 31, they’ve struggled to access the web app and online banking, make payments, and even reach customer service due to a significant IT outage.

Reports of issues started coming in around 5 AM, peaking around 7 AM and 9:20 AM, according to Ookla’s Downdetector service. Barclays acknowledged the outage via social media, apologizing for the inconvenience. A spokesperson said, “We’re having some problems with our systems today. We’re sorry and working hard to fix it.” They cautioned customers that they might have trouble using certain features of the app and online banking, and that phone support was also compromised.

Though they claimed that cards and cash machines were functioning normally, some customers reported their cards were being declined. Barclays urged anyone hoping to make a payment not to try again if they encountered issues. More details about affected services can be found online.

IT disruptions like this can significantly impact banks, given how much people rely on their services. Earlier this month, Capital One faced a similar issue in the U.S., locking customers out of online banking for days due to a power outage at a third-party provider.

As of now, there’s no indication that Barclays’ outage is the result of a cyber attack or security breach. When interacting with customers, service teams have only referenced “technical issues.”

Complicating matters, this outage hit right on the HMRC deadline for filing self-assessment tax returns. Self-employed customers are particularly worried because missing that deadline could result in an initial fixed penalty of £100. Even if no tax is owed, the penalties continue to stack. While those with a reasonable excuse might avoid fees, each case gets considered individually.

Many Barclays customers have taken to social media, asking whether the bank will cover any penalties incurred due to this outage.