Broking staff at money-broker Tullett Prebon have been given the chance to relocate from Britain following the government’s introduction of a 50% tax on bonuses of more than £25,000.
The plan was approved by the company’s board, headed up by chief executive Terry Smith, which reportedly concluded that it was in the best interests of shareholders that, where appropriate, staff were moved to countries which had more certain tax regimes. This offer of relocation was communicated to staff with a memo.
In his pre-Budget report Chancellor Alistair Darling has announced that bankers’ bonuses exceeding £25,000 would be subject to a one-off 50% tax. The tax, which could raise £550 million, is designed to ensure banks use their profits to build up their capital base.
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