Government cuts tax bill for big companies, unsurprisingly
The Government, in their infinite wisdom, have cut the tax bills of loads of our biggest companies by around a quarter in 2013. Politicians think this will cut our debts. Everyone else thinks this is an example of a two-tier rule book.
While companies like Google and Apple make insane amounts of cash, they pay very little tax in the UK, and a group surveyed (which includes some of the biggest UK companies) said their corporation tax bills fell 26%, on top of hefty drops in previous years.
David Cameron has said that this is a bid to encourage businesses to come over here and invest and create jobs.
The 100 Group, including most businesses that appear on the FTSE 100 Index of major businesses, had a tax bill of £6 billion pounds in a survey conducted by PricewaterhouseCoopers (PwC). The 100 Group's tax bill has steadily dropped since 2006, when members paid £12.6 billion in corporation tax.
A spokeswoman for the finance ministry said: "Our major corporation tax reforms, part of the government's long-term economic plan, are supporting jobs, growth and investment, and playing a critical part in delivering a sustainable economic recovery."
Does that make you feel better?