A couple of weeks ago I linked to a story about how the UK drugmaker Shire was planning to relocate offshore to avoid paying UK tax. The FT reports today that a large number of blue-chip firms are looking at following suit.
The problem, however, is that even if the UK government cuts corporate taxes to entice firms not to leave, a high-spending administration like this one is likely to recoup any loss of revenue by hiking taxes elsewhere. If it does, that will only encourage more people to leave.
Atlas is shrugging.
Good. As James writes above, it is high time for Atlas to start shrugging. Screw the UK government and screw the people who vote these greedy bastards into office.
But surely the Financial Times has a solution:
More land should be taken from farmers and given to poor people – that would be a “win for everyone” and so noone would leave the country.
At least that was the idea in a “major report” that they were supporting in today’s issue of that newspaper. After all it if is good for South Africa….
It makes me glad I never buy the F.T. (or the Economist or the…..).