The UK’s largest businesses are seen as less trustworthy than SMEs when it comes to their tax affairs, a study suggests.
A new YouGov study commissioned by Perth-based energy giant SSE and chartered accountancy professional body ICAS found the majority of the public do not believe the UK’s biggest companies pay their fair share of tax.
In fact, only a third of the 2,000 survey respondents believed Britain’s blue-chip firms were paying the tax they owed.
In contrast, 80% said they believed that SME firms were paying their way.
The poll also found only 10% of people think it is acceptable for companies to move their base of operations abroad to avoid paying corporation tax in the UK.
The results were released ahead of an SSE-sponsored debate in London today on the role of corporations in society.
“Big business has a major job on its hands to convince the public that it is paying taxes fairly,” said SSE chief executive Alistair Phillips-Davies.
“Paying the appropriate amount of tax, in the right place and at the right time is core to this; and at SSE we remain determined to abide by the spirit and letter of tax regulations. We have explicitly ruled out the use of artificial tax avoidance schemes and tax havens.
“We have disclosed much greater tax detail on our accounts, and last year we were the first FTSE 100 company to be awarded the Fair Tax Mark.”
Jim Pettigrew, Dundee-born president of ICAS, said: “The survey demonstrates that big business has got a long way to go to convince the public that companies have earned their trust on taxation. Ensuring companies behave in the right way and improve transparency and communication is key to changing this perception.”