Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Informa returns to the UK after fleeing from Gordon Brown

 

Gideon Spanier
Tuesday 10 December 2013 08:38 EST
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

Informa has announced plans to move its tax domicile back to Britain after five years in Switzerland — news that will help Chancellor George Osborne’s efforts to make the UK more tax-friendly.

The owner of insurance bible Lloyd’s List moved its tax base to Zug in 2009 when it was one of a string of companies including WPP, Wolseley and Shire which fled the UK during Gordon Brown’s premiership.

The FTSE 250 firm’s return is significant because it follows advertising giant WPP’s decision to move back from Dublin a year ago.

Osborne has slashed tax rates on controlled foreign companies (CFCs) — a key issue that had previously prompted companies to flee the UK — and he has also cut corporation tax.

Informa expects “no material change in reported tax rates or taxation paid as a result of the change in domicile”, suggesting the UK now compares well with Switzerland — at least when it comes to tax on foreign earnings. The group had previously said it had cut its tax bill, following the move to Switzerland.

Informa’s return comes as its long-serving chief executive, Peter Rigby, prepares to hand over the reins to Stephen Carter, a non-executive director, next year.

Lord Carter, a former public servant who was chief adviser to Brown in No 10 and head of media regulator Ofcom, had been facing the awkward prospect of heading a British company that was based overseas for tax purposes.

Informa said the new chief executive was not a reason for the tax change and the board felt the timing was right. Rigby promised in 2011: “When the CFC situation is properly resolved, if the right thing is to return to the UK, we will return to the UK.”

The group signalled in the past that the Swiss move was not painless, causing staff upheaval even though it saved on tax.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in