Tax burden soaring for the big players

The retailers in the Hundred Group now have a total tax rate of 59 per cent, compared with an average of 39 per cent across all industries, according to research by PwC.

Payments of corporation tax by these retailers have risen 11 per cent over the period, while other business taxes including business rates and employers’ national insurance contributions have risen by almost 80 per cent since 2005, PwC said. But it was unable to provide corresponding figures.

Gordon Singer, tax partner, PwC Leeds, said: “Governments looking for stable tax revenues have rebalanced business taxes so there is less reliance on corporation tax, which is inevitably volatile as it is dependent on profits. For every £1 of corporation tax, the UK’s largest retailers now pay almost £2.40 in other taxes out of their profits.”