The tax haven of Jersey is a magnet for companies and individuals looking for a cheaper tax bill.
Simon Nixon, the founder ofMoneysupermarket.com, has become the latest individual to uproot to the island after selling a 19% stake in the company, netting him around £200m. This means he will avoid paying more than £60m in tax, according to a newspaper report.
But his decision to uproot from Cheshire to Jersey has angered one MP.
‘It’s contemptible that these people don’t have the integrity to stay in this country and pay British taxes – it’s akin to treachery,’ said John Mann, Labour MP and member of the Treasury Select Committee.
He added: ‘These entrepreneurs rely on infrastructure paid for by taxpayers – such as broadband – to make their fortunes. But it’s one rule for them and another for the rest of us.’
In Jersey, the income tax rate is 20% and corporation tax is fixed at 10%.
Nixon founded Moneysupermarket in 1999 and floated it in 2007. He stepped down as chief exec in 2008 but still owns just under 50%.
Will offshore tax havens now feaure in the site's 'You're so money supermarket' TV ads? We'll have to wait and see.