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The truths they don't want you to read....

Wednesday, September 20, 2006

Cal Mac goes offshore

The madness of CalMac tendering continues ....

In order to comply with European rules that needn't have applied, the Executive forced CalMac to tender. This was designed to ensure the Executive paid the minimum subsidy for the service.

As a consequence, the staff are now employed in Guernsey and pay no National Insurance, and now CalMac is moving it's headquarters offshore to avoid Corporation Tax. Did no-one in the Executive do the sums and follow the logic through so that they are supporting companies avoiding Corporation Tax.

First the tax offices were sold to a Bermuda based company (Mapelely Steps Ltd) who will avoid UK tax on all the rental income the Government pays it, and now a publicly owned company is moving its domain to win a contract that it should have had be rights.

The world is going mad, and the only winners are the lawyers and accountants who are advising CalMac how to avoid paying it's fair share to the Treasury. Surely, some MSPs must be prepared to stand up and object to this.

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