If we want tax exiles to contribute to the recovery, then we need to tax them

Attempts to ban tax haven companies from receiving bailouts are eye-catching and popular, but won’t touch Britain’s tax exiles

By George Turner

MONTE-CARLO, MONACO - MAY 26: Businessman Sir Philip Green arrives in the paddock before the Monaco Formula One Grand Prix at the Circuit de Monaco on May 26, 2013 in Monte-Carlo, Monaco. (Photo by Bryn Lennon/Getty Images)

The public had already had enough of tax avoidance by the time the Coronavirus hit Europe in February. But the prospect of billionaire tax exiles asking the British taxpayer for cash has provoked fresh outrage.

Keen to be seen doing something, a number of governments have said they will ban companies registered in tax havens from receiving any government support and there have been calls for the UK government to do the same. The policy is not without merit but, ultimately, it won’t make much difference.