UK care homes shift profits offshore - report

Tuesday 23 February 2021 12:32 CET | News

UK care homes shift profits offshore while charging thousands of residents GBP 200 in daily fees, according to Darkness at Sunrise: UK Care Homes Shifting Profits Offshore? Report.

The Centre for International Corporate Tax Accountability & Research (CICTAR) and Public Services International (PSI) reveals that ownership through tax havens enables the more than 60 care homes to report losses in the UK while foreign investors make a killing in a sector subsidised by public spending. The UK’s care sector is dominated by private equity firms with a track record of aggressive tax dodging.

Welltower, a large US real estate company, is a minority partner in UK care homes, Gracewell Healthcare and Signature Senior Lifestyle, and owns over 120 UK care homes in total. In 2019, Welltower’s share of profit on these homes was an estimated GBP 64 million. ‘Profits reported to shareholders, reveal what is usually kept hidden’, said Jason Ward, the author of the report. ‘Complex corporate structures using tax havens artificially create losses to avoid UK tax.’

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Keywords: tax evasion , offshore company, accountant, equity firms
Categories: Fraud & Financial Crime
Countries: United Kingdom
This article is part of category

Fraud & Financial Crime