Tax planning department of Barclays is under threat

The famous UK Bank Barclays can reject the tax planning department in the near future, the reason of which is the conflict with the UK tax authorities.

This proposal was made by the executive officer Antony Jenkins and head of banking investment Rick Ricci. Such radical measures were caused by negative mass media covering and political attention to tax planning consulting of business by Barclays.

The situation worsened in February 2012 when Barcleys developed 2 new schemes of tax avoidance that were cut off by the Treasury.

Expert’s opinion

In my mind, under the pressure of the governmental interests (firstly in face of the Treasury) the bank Barclays despite the status and meaning in the financial sector will reject the tax planning department whose reputation suffered sufficiently in result of the above described events.

The price of this decision will naturally be the loss of foreign investors stake who use banking consulting services. However, for persons who use law firms’ services of tax optimization schemes development the Barclays’ decision won’t influence crucially.