British bookmakers have sidestepped paying up to £1bn in UK tax since 2009 – more than the tax avoidance deals operated by Amazon and Starbucks. Although William Hill and Ladbrokes are UK Plcs with hundreds of high street branches, bets placed on their websites and phone lines are regulated and taxed in the British overseas territory of Gibraltar. Other big names including Betfair, PaddyPower and 888 also avoid paying British tax on “remote” betting and gaming. The investigation, led by The Independent, has found that all of the top 10 operators in "remote gambling" have part or all of their operations headquartered at overseas tax havens. However, top British bookmakers defended their relocation by saying that they were pushed offshore by the UK’s “uncompetitive” tax rate. In a statement, Ladbrokes, which saves around £18m annually, said it had only moved offshore reluctantly "to survive and compete". (Independent)
Supply Chain
Burger King drops Irish supplier over horsemeat
Burger King has terminated its contract with Irish supplier, Silvercrest, after “very small trace levels” of horse DNA was found in its products. The global fast food chain is the latest firm to be affected by the horsemeat scandal. According to investigations made by Burger King, Silvercrest used a small percentage of beef imported from a non-approved supplier in Poland. Diego Beaumonte, vice-president for global quality at Burger King, said the company was “deeply troubled by the findings”. (Independent; Guardian)
Shell continues spilling oil in North Sea
Shell and other major companies are spilling crude, diesel or other contaminants into the North Sea on a daily basis despite the oil industry’s efforts to improve its safety record. Statistics from the Department of Energy and Climate Change (DECC) show that Shell has been responsible for over 20 pollution accidents in British waters over a six-month period. Shell said that “no spill is acceptable” and that it is working hard to ensure its safety performance was improved by investing heavily in the maintenance of North Sea platforms. The environmental campaign group, WWF, said that it was time to halt the race to exploit pristine areas in the far north, slash subsidies to oil and gas groups and ban those with poor safety records. (Guardian)
Policy & Research
Clinton announces $80m in public-private partnerships
The outgoing US Secretary of State, Hillary Rodham Clinton, on Thursday hosted over 200 representatives from business, NGOs, and civil society groups to celebrate the power of collaboration. The Global Partnership Initiative, launched four years ago by Clinton, has so far mobilised $650m and engaged with over 1,100 partners. Corporate partners have included Cisco and Coca-Cola, who have joined with local businesses and groups to promote economic opportunities across the Middle East, North Africa, and Asia, and Wal-Mart, ExxonMobil and Goldman Sachs, who have joined partnerships to support the growth and expansion of women's entrepreneurship. Announcing $80m in new projects, including an initiative designed to empower women clean energy entrepreneurs in India, Nigeria and East Africa, Clinton hailed the “invaluable” contribution of partnerships in tackling global challenges, and the “commitment, creativity, and compassion” of the partners involved. (Business Fights Poverty; US Department of State)
Ellen MacArthur Foundation launches Circular Economy report
The Ellen MacArthur Foundation has launched a new report which shows the business benefits of a Circular Economy. The report reveals how the consumer goods industry could save $700bn a year if they introduced a closed-loop system of production, whereby resources can be disassembled or broken down, and re-used. Following the launch of the Foundation’s first report in Davos in 2012, the circular economy has rapidly gained the attention of businesses and was central to the agenda of four of the World Economic Forum’s official sessions held this year. The report has won the support of several CEOs including those of Unilever, Marks & Spencer and DSM. (Guardian)
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