The European Commission has initiated an investigation into possible violations of European competition rules by the British government. It is about illegal tax benefits to transnational corporations in the UK.
The investigation is conducted under the article on illegal state aid to companies and enterprises. The European Union’s antitrust body will investigate whether a UK scheme for the removal of some transactions of transnational corporations from the effect of British tax law allows them to pay less taxes and thereby violates EU legislation.
All companies must pay a fair share of the tax. The rules for combating tax evasion play an important role in achieving this goal. But the rules should not contradict their own goal, allowing to better treat some companies than to others, EU Competition Commissioner Margrethe Vestager said.