HM Revenue and Customs (HMRC) is to investigate how to improve still further the system for dealing with applications from businesses wishing to register for VAT.
The current HMRC target is to process 70 per cent of applications within ten days.
Figures suggest that the tax authority is actually ahead of its target marks.
Although the average number of applications processed within the ten-day limit between April 2010 and January 2011 was 65 per cent, more recent data indicate HMRC is now achieving a faster rate.
In December of last year and January of this, the proportion of applications checked according to the timeframe rose to 77.2 per cent and 79.9 per cent respectively.
However, HMRC has conceded that in-depth checks are taking longer than is appropriate and said that measures are being taken to improve the system.