A small town in Wales has moved offshore to stop paying tax. They're not trying to dodge payment, they're simply making a point about the massive organisations who continually get away with this despite making huge profits.
Crickhowell in southeastern Powys has a very simple logic: "either we all pay tax, or none of us do."
Local traders including a salmon smokery, coffee shop, book shop and bakery are very angry about the loopholes in the taxation system. Caffe Nero has not paid corporation tax since 2008 despite sales of £1.2 billion.
In November 2015 the town submitted a plan to the HMRC to move their HQ to the Isle of Man, where Caffe Nero, Google, and many others have their headquarters.
The proposal was successful because it's completely legal. Just like the big guys, they set up a company in the tax haven and were taught by financial experts how to reduce the profits they declare so they could pay less corporation tax.
Earlier this year a documentary about their endeavour called The Town That Went Offshore was shown on BBC2. Before it was screened, MP Lord Crickhowell, who served as Secretary of State for Wales in Margaret Thatcher’s cabinet, advised them to back down to avoid embarrasment to the government. However the only way for the HMRC to take notice of their protest is by becoming a national movement, which is exactly what they're doing.
The Fair Tax Town scheme has been founded with a mission to "change the tax system. Our vision is that every business in the UK will pay fair corporation tax." So far Hebden Bridge in Yorkshire and Leek in Staffordshire are on board.
Crickhowell has a population of just over 2,000, so obviously with London's 8.5 million people it's not logistically possible for the whole capital to go offshore. But should more traders move their businesses to tax sanctuaries? Leave us a comment on Twitter, Google+ or Facebook.
