Prime minister David Cameron has said a clampdown on aggressive tax avoidance by companies will be on the key aims of Britain’s G8 presidency.
In a swipe at Starbucks, which paid just £8.6 million in corporation tax over the last 14 years before agreeing to pay an extra £20 million, he said: ‘Companies need to wake up and smell the coffee, because the customers who buy from have had enough.’
Speaking at the World Economic Forum in Davos, he said that a global crackdown was needed to counter aggressive corporate tax avoidance.
‘Some forms of avoidance have become so aggressive that I think it’s time to call for more responsibility and for governments to act accordingly,’ he said.
‘In the UK we’ve already committed hundreds of millions into this effort – but acting alone has its limits. Clamp down in one country and the travelling caravan of lawyers, accountants and financial gurus just moves on elsewhere. We need to act together at the G8.’