You are here: Home - News -

Moneysupermarket founder branded a £60m tax ‘traitor’ after moving to Jersey

by: IFAonline
  • 06/06/2013
  • 0
Moneysupermarket founder branded a £60m tax ‘traitor’ after moving to Jersey
The co-founder of price comparison website Moneysupermarket has come under fire for avoiding more than £60m in tax by moving to Jersey.

Simon Nixon yesterday scooped a £200m jackpot after selling a 19% stake, or 100 million shares, in the Flintshire-based company valued at around £2 each, the Daily Mail reports.

He has also been lined up for a £20m dividend pay-out from the shares he still owns.

This marks the first time Nixon has made a significant disposal of his share in the business he co-founded back in 1999 and floated on the stock market in 2007.

His decision to uproot from Cheshire to the tax haven of Jersey was described as ‘akin to treachery’ by one MP last night.

The move means he will avoid paying capital gains tax on the sale of his shares and income tax on his £20m dividend.

In total he will save more than £60m, according to accountants.

But he stands to make even bigger savings in the future if he stays in Jersey and decides to cash in the rest of his stake.

Nixon, who is estimated to be worth £733m and is a collector of fine art, still owns 29% of Moneysupermarket, worth more than £300m. He will also continue to receive dividend payments tax free.

John Mann, Labour MP and member of the Treasury Select Committee said: “It’s contemptible that these people don’t have the integrity to stay in this country and pay British taxes – it’s akin to treachery.

“These entrepreneurs rely on infrastructure paid by taxpayers – such as broadband – to make their fortunes. But it’s one rule for them and another for the rest of us.”

There are 0 Comment(s)

You may also be interested in