Belfast Telegraph

Starbucks pays £8m tax bill as profits soar

By Roger Baird

Starbucks paid £8m in corporation tax last year after posting record UK profits.

The UK arm of the US-based coffee chain - which has 16 shops here - said pre-tax profits jumped to £34.2m in the year to September 27, compared with less than £2m a year ago, as it reshaped its store portfolio.

The group, which runs 843 UK stores, added that like-for-like sales grew 3.8% in the period.

The business said in 2012 it would pay more tax after a public outcry over its affairs, which led MPs to call its corporate structures "immoral". It was claimed that Starbucks transferred profits to lower tax jurisdictions.

Starbucks European, Middle East and Africa president, Kris Engskov, said: "Before and after-tax profits are both up by more than £30m as we have invested in the store experience while managing our costs. As a result, our corporation tax payments also increased."

Belfast Telegraph

Popular