Publisher Informa shifts tax base back to UK
Informa re-domiciles in the UK after four years in Switzerland
FOUR YEARS after moving to Switzerland, publishing house Informa is to move its tax base back to the UK.
The FTSE 250 media group, which publishes titles including Lloyd’s List, said it is seeking shareholder approval to move its headquarters back to the UK during 2014.
In 2009, Informa, which generates most of its revenues from abroad, became one of a number of companies, including WPP, Henderson and UBM, to relocate overseas as a result of tightening tax rules on foreign profits.
However, George Osborne’s policy of cutting corporation tax and slashing tax rates on controlled foreign companies has enticed it back, in what is likely to be seen as a coup for the coalition government.
The move, which Informa said is unlikely to result in any “material change in reported taxes or taxation paid” is an indication of the UK’s increased competitiveness as a tax domicle.
In last week’s Autumn Statement, Osborne cited a report by KPMG that found. for the second year running, the UK has the most competitive business tax system.
“Putting up corporation tax hits investment, cuts productivity and raises much less” Osborne said.
WPP became one of the first companies to return from self-imposed tax exile when it announced in August last year that it would be returning to the UK because of changes to the way foreign profits are taxed.