TaxCorporate TaxBarclays to close tax planning unit

Barclays to close tax planning unit

Barclays expected to close controversial tax structuring unit as part of an extensive strategic review of the business

Barclays to close tax planning unit

BARCLAYS IS TO CLOSE its controversial tax structuring unit as part of an extensive strategic review of the business, it has been widely reported.

The bank is expected to shut the tax planning arm of its structured capital markets business in a bid towards repairing its battered reputation following a succession of scandals.

It is thought the bank will continue to offer vanilla tax planning products to its customers, but will scrap the unit which advises companies on the use of sophisticated and complex structures to cut their tax bills.

New chief executive Antony Jenkins, who claimed to be “shredding” the legacy of predecessor Bob Diamond, is expected to announce the move on Tuesday, alongside Barclays’ full year results.

Diamond was forced to step down as a result of the Libor-rigging scandal, which also led to the departure of chairman Marcus Agius and chief operating officer Jerry del Missie.

In addition to the £290m fine for rigging the benchmark Libor interest rate , the bank is also dealing with scandals around the mis-selling of financial products.

Last week, Barclays announced that Chris Lucas, finance director since 2007, and general counsel Mark Harding, who has been with the bank for ten years, will both step down once successors have been found.

Related Articles

‘Google tax’ nets HMRC £281m

Corporate Tax ‘Google tax’ nets HMRC £281m

6d Emma Smith, Managing Editor
Autumn Statement: Investment and tax avoidance highlighted in Hammond's speech

Corporate Tax Autumn Statement: Investment and tax avoidance highlighted in Hammond's speech

10m Kevin Reed, Writer
Colin: Tell them about the money, mummy

Business Regulation Colin: Tell them about the money, mummy

10m Taking Stock
Economic activity carried out in the UK must be taxed accordingly

Corporate Tax Economic activity carried out in the UK must be taxed accordingly

12m Accountancy Age, Reporters
EU competition head Vestager defends Apple tax ruling

Corporate Tax EU competition head Vestager defends Apple tax ruling

1y Richard Crump, Writer
Five key tax and business burdens the chancellor must ease in Autumn Statement

Business Regulation Five key tax and business burdens the chancellor must ease in Autumn Statement

10m Kevin Reed, Writer
Friday Afternoon Live: Making Tax Digital; CIMA prez's new role; tax conduct guidance

Corporate Tax Friday Afternoon Live: Making Tax Digital; CIMA prez's new role; tax conduct guidance

11m Kevin Reed, Writer
European Commission told to draft financial transaction tax by year-end

Business Regulation European Commission told to draft financial transaction tax by year-end

11m Keith Nuthall, Reporter