Starbucks moves offices to UK
After mounting pressure from campaigners and politicians Starbucks is to move its European head office to London following revelations over their tax avoidance.
The company will move from Amsterdam (where they enjoyed preferential tax treatment from Dutch authorities) by the end of the year.
Part of the tax avoidance row centred on Starbucks transferring money to its Dutch sister company in royalty payments.
Reuters reported in 2012 that the company had told the UK tax authority it was loss-making while informing investors that the British subsidiary was profitable.
"This move will mean we pay more tax in the UK," the company said.
The move follows a change in UK tax rules aimed at encouraging international companies to locate their headquarters in Britain, whereby UK-registered companies are not taxed on income earned outside the country.
The relocation will concentrate a "modest number of senior executives" in its London operation.
Last year, Starbucks paid £5m in corporation tax, its first such tax payment since 2009.
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