Measures to prevent illegally harvested timber from entering the European Union (EU) come into force on Sunday. The EU Timber Regulation requires importers or sellers of timber and wood products to keep records of the sources of their supplies. Interpol estimates that illegal logging contributes up to 30percent of timber in the global market, costing in excess of 15bn euros ($20bn/£13bn) each year. The EU accounts for 35percent of the world's primary timber consumption. The law, which was adopted by the European Parliament and Council back in October 2010, is only just coming into force because of the measures member states and private companies had to put in place. (BBC)
Tax reliefs 'could unlock £480m of social investment', report claims
Tax breaks for social investment in the UK could generate an extra £480m of investment from wealthy individuals over five years, according to a report published today by Big Society Capital and the City of London Corporation. The Role of Tax Incentives in Encouraging Social Investment, written by the social investment consultancy Worthstone and the law firm Wragge & Co, says there are about 225,000 households with more than £100,000 that they could invest and for whom a tax incentive would be a primary motivator. The report says the social sector should be able to access tax breaks similar to those already existing to encourage investment in small businesses, such as the enterprise investment scheme and venture capital trusts. (Third Sector)
Payday loan firms face new threat of instant closure
Payday lenders, who provide small, short-term unsecured loan, are expected to face heavy criticism and the threat of fines from the UK’s Office of Fair Trading as part of a comprehensive attempt by regulators and the government to clamp down on the sector. After an official year-long investigation, short-term lenders who hit customers with high-cost loans should come under tough new regulations, with errant firms at risk of being shut down. The results of a year-long investigation into the sector is expected to accuse many lenders of widespread irresponsible lending with the Government revealing plans to force many companies to clean up their advertising. (Independent, Financial Times*)
Corporate Reputation
Google under fire over ivory adverts
Campaigners say Google are encouraging the poaching of elephants by running advertisements promoting ivory products. The Environmental Investigation Agency (EIA), based in the UK, says more than 10,000 advertisements about ivory were running on Google's Japanese shopping site. The EIA have written to the internet giant asking for their removal. In response, Google said adverts relating to endangered species were not allowed on their sites, and if detected, are removed. (BBC)
Microsoft faces big fine for breach of antitrust agreement
Microsoft is set to be hit with a fine running into hundreds of millions of dollars by Brussels on Wednesday over its failure to keep to a high-profile competition agreement with European regulators. The rare penalty comes as the US software group is also fighting Danish tax authorities over a claim of up to $1bn, including penalties for late payment of taxes that reach back nearly a decade. The European fine represents an unprecedented penalty against a company for failing to stick to a voluntary pact with antitrust regulators. (Financial Times*)
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