UK's largest companies up tax payout
PwC research finds the UK's largest companies have increased the tax paid to the Treasury
THE LARGEST BRITISH companies paid out nearly £70bn in tax to the year ending 31 March 2011.
Research by PwC for the Hundred Group of Finance Directors found their tax payments climbed 14% (£8.3bn) to £67.7bn.
The top 100 companies represent 13% of the Treasury’s total tax receipts, up from 12.5%the previous year – back to pre-recession levels.
Improved profitability drove the increase, climbing 60% to £3.7bn.
Andrew Bonfield, chairman of the tax committee of the Hundred Group, said: “PwC’s research continues to highlight the significant value of Britain’s largest firms not only to the UK’ s public finances but also to the economy as a whole, especially the job market.
“The Hundred Group employs over two million people, the work is mostly skilled and the tax contribution these firms and their employees make is well above the national average. It is important that we continue to create the right environment for these companies to flourish and grow given how much they benefit the UK economy.”