Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, what steps he has taken to deter UK-headquartered multinational companies from using tax havens to avoid paying tax in developing countries.

The UK has been at the forefront of the OECD Base Erosion and Profit Shifting (BEPS) Project to address the issue of multinational companies shifting profits to low or no tax locations where there is little or no economic activity.

We have been participating in the ‘Inclusive Framework on BEPS Implementation’, which brings together 94 developed countries and developing countries to implement the BEPS outcomes. Through the G20 we have commissioned toolkits to assist developing countries in implementation.

We have also funded assistance to help developing country tax authorities tackle tax avoidance by multinational companies, such as supporting the OECD’s Tax Inspectors Without Borders initiative, which has raised over $260 million additional revenue for developing countries.