MAJOR Scottish companies last night refused to rule out joining the growing number of firms threatening to quit the United Kingdom for tax purposes.
In a new sign of increasing unease over corporate taxation, several large firms north of the Border were reluctant to state their intentions.
The failure by some of Scotland's leading companies to say publicly that they will not move came after i
t was revealed Aberdeen Asset Management was considering leaving the UK for a country with lower corporate taxes.
Edinburgh insurance giant Standard Life refused to comment when asked by The Scotsman if it would consider switching domiciles for tax purposes.
And a spokesman for fund manager Martin Currie said that while there was no proposal for the group to change its tax domicile, the position could be reviewed. The group said in a statement: "As with all issues associated with our operating cost base it is something we would review if it were to make commercial sense to the business."
A number of companies are reportedly considering switching their official headquarters to cities including Dublin or Geneva, in a bid to circumvent changes to corporation tax covering earnings derived outside the UK.
While such a move could potentially have little or no impact on jobs in Britain, it would cut the amount collected by the Treasury.
Scotland's two largest companies yesterday ruled out a move, but declined to discuss the treasury proposals.
Royal Bank of Scotland said in a statement: "There are no plans to relocate and we are not considering moving."
HBOS said it was "very proud to be based in Edinburgh and has no plans whatsoever to change the location of its head office."
Alan Harden, chief executive of Alliance Trust, said the FTSE 100 company had no current plans to switch domicile but took a swipe at the "constant increases" in personal and corporate taxation, which it said were diluting the competitiveness of the UK.
"The impact of more onerous corporate gains tax regulations and charges imposed on non-domiciled residents will result in the loss of thousands of jobs in the UK," Harden said. "It is the job of government to create a strong, stable and supportive business environment that enables both individuals and businesses to thrive."
Other big Scottish names that flatly ruled out a move included FirstGroup, Cairn Energy and Scottish & Southern Energy.
The full article contains 404 words and appears in The Scotsman newspaper.
