Tax is essential to provide vital public services. However, it has been estimated that £17bn of revenue is lost each year due to multinational profit shifting [1].
The London Assembly believes that all organisations should pay the right amount of tax in the right place at the right time.
Because of this, it is today calling on the Mayor to commit to the key principles of the Fair Tax Declaration and to lead by example in the Greater London Authority’s (GLA) own tax conduct.
Zack Polanski AM, who proposed the motion said:
“This motion is about making sure all companies are paying the right amount of tax whilst being proudly transparent about how much tax they pay.
“Far too many businesses avoid this responsibility, which means less money coming back in to pay for the public services we all rely on like the NHS.
“Everyone has to pay their fair share; we cannot allow the big and powerful companies to get away with paying little or no tax, while ordinary people are left to foot the bill for government spending.”
Len Duvall AM, who seconded the motion said:
“It goes without saying that everyone should be paying the right amount of tax.
“With public spending under intense pressure, taxation supports Londoners experiencing unprecedented financial challenges during the cost of living crisis.
“A commitment to paying a fair share of tax is a commitment to equality and social justice.
“It is up to us as an organisation to set an example and use our platform to tackle tax avoidance and champion responsible tax conduct.”
The full text of the motion is:
This Assembly believes that:
- All organisations should pay the right amount of tax in the right place at the right time; and
- Tax is essential to provide vital public services however it has been estimated that £17bn of revenue is lost each year due to multinational profit shifting.
This Assembly welcomes the Fair Tax Foundation campaign and calls on the Mayor to:
- Commit to the key principles of the Fair Tax Declaration; and
- To lead by example in the GLA’s own tax conduct, to promote good practice and to support changes to legislation to allow tax conduct by suppliers to be taken into account through procurement policies.
Notes to editors
- https://fairtaxmark.net/corporate-tax-avoidance-tops-uk-publics-list-of-concerns-for-10th-consecutive-year-with-disquiet-at-record-high/
- Watch the full webcast.
- The motion was agreed unanimously.
- Zack Polanski AM, who proposed the motion, is available for interviews.
- As well as investigating issues that matter to Londoners, the London Assembly acts as a check and a balance on the Mayor.
For media enquiries, please contact Emma Bowden on 07849 303 897. For out of hours media enquiries, call 020 7983 4000 and ask for the London Assembly duty press officer.