The Times reports on allegations of aggressive tax avoidance in UK care homes
“A Canadian care home operator has been accused of using aggressive tax avoidance to extract profits out of its UK residences.
Revera, which owns 56 care homes in the UK, uses complex schemes to route profits from its homes through the tax havens of Jersey, Guernsey and Luxembourg, according to a report by the Centre for International Corporate Tax Accountability and Research, published yesterday …”
Making a killing from care: Tax Justice Network reports on our latest report
“Foreign investors who own UK care homes are charging exorbitant fees while shifting millions of pounds into tax havens. That is the finding of a new report by the Center for International Corporate Tax Accountability and Research (CICTAR) which shows the Canadian government pension fund PSP Investments, which controls more than 60 UK care homes, is shifting profits offshore and declaring losses in the UK while demanding £200 a day in fees from thousands of residents.
Darkness at Sunrise: UK Care Homes Shifting Profits Offshore focuses on two companies controlled by the PSP; Gracewell Healthcare and Signature Senior Lifestyle, both of which are run by management company Sunrise Senior Living. The report presents a concrete example of what is likely to be a much broader pattern of predatory corporate behavior in a sector that is dominated by private equity firms with a track record of aggressive tax planning …”
Get Tough on Tax with Care Operators
“The Darkness at Sunrise: UK Care Homes Shifting Profits Offshore report identifies three internationally-owned UK care home operators that UNISON says are “diverting cash to offshore tax havens, while claiming to make little or no profit in the UK”.
UNISON said the research by the Centre for International Corporate Tax Accountability & Research (CICTAR) and Public Services International (PSI) found that Sunrise Senior Living, Gracewell Healthcare and Signature Senior Living – all part-owned by Canadian company Revera and US real estate company Welltower – “appear to be using aggressive tax avoidance schemes”….”
Care Home Professional reports on Tax Avoidance Allegations
“The report by the Centre for International Corporate Tax Accountability & Research (CICTAR) and Public Services International (PSI) levels the allegations at the foreign investors who are part owners of leading UK care home providers, Sunrise Senior Living, Gracewell Healthcare and Signature Senior Living.
The research says Sunrise, Gracewell and Signature, which all have headquarters in Buckinghamshire and together operate 60 care homes across the country, charged residents more than £225m in fees in 2019 but still reported little or no profit in the UK …”
Global care company under fire for alleged Jersey tax avoidance
“The company behind a string of 60 UK care homes has come under fire in a report claiming it was “aggressively” avoiding tax by using complex structures based in Jersey, Guernsey and Luxembourg …”
Jason Ward responds to PSP Investments’ claim on Revera’s immunity from paying taxes in the UK in the Huffington Post
“Revera Inc., the long-term care home company owned by the Canadian Public Sector Pension (PSP) Investment Board that has seen hundreds of resident deaths during the pandemic, appears to shift taxable profits out of the United Kingdom into subsidiaries in countries with more favourable tax laws, according to a new analysis. The private company, headquartered in Mississauga, Ont., owns and operates more than 500 retirement and long-term care homes in Canada, the United States and the U.K.
A report from the Australian Centre for International Corporate Tax Accountability and Research analyzed Revera’s U.K. operations and structure because the British reporting requirements make public information not available in Canada or the U.S …”
Quebec’s Leading Newspaper Le Devoir’s Article on the Revera Report
“Une société fédérale de la Couronne se retrouve de nouveau mêlée à des paradis fiscaux. L’Office d’investissement des régimes de pensions du secteur public (Investissements PSP), la caisse de retraite de la fonction publique fédérale, des Forces canadiennes et de la Gendarmerie royale du Canada, se prête à ce qui a tout l’air d’être de la planification fiscale agressive dans des paradis fiscaux, constate un groupe de recherche spécialisé. Les liens entre Investissements PSP et la société Revera plaçaient déjà le gouvernement Trudeau sur la sellette depuis des mois…”
The Financial Post Canada Reports on the Revera findings
“Canada’s second largest long term care home operator, Revera, appears to use aggressive tax avoidance schemes in the UK, according to a new report, Tax Dodging by a Canadian Crown Corporation: Revera Living Making a Killing, from the Centre for International Corporate Tax Accountability and Research (CICTAR). High numbers of COVID-related deaths in for-profit homes have exposed longstanding systemic problems across the long-term care sector, including chronic understaffing and low pay. The report shows how Revera’s UK care homes generate large revenues, but appear to shift profits offshore, raising major concerns in the UK and Canada that Revera-owned homes prioritize profit over people …”