Why Is Branson’s Healthcare Company Massively Profitable, But Pays No Corporation Tax

Mike yesterday put up a piece reporting that Virgin Healthcare has won £2 billion worth of NHS and local authority contracts, but hasn’t paid any corporation tax. The company has claimed that it has racked up losses since it was founded in 2010. Mike said that it didn’t make sense for him for a company to win such contracts with the promise that it would fulfill them in budget and making a tidy profit for itself. He thought someone was being shortchanged, and if he was in a hospital run by Branson’s wretched firm, he’d work out who they were shortchanging in a very short order.

See:  https://voxpoliticalonline.com/2020/01/27/virgin-healthcare-has-won-2-billion-in-nhs-contracts-and-paid-no-tax-why/

The snippet from the Mirror article Mike’s report refers to quotes health campaigner Dr. John Lister, who called the company ‘parasitic’ for this. And his right. Branson is a parasite, who’s had his scolex in the guts of the British state and NHS for a very long time. He was chums with John Major’s government, and when that fell switched sides to supporting Blair. Among other services, Virgin Healthcare runs some of the polyclinics or health centres Blair set up.

Mike wondered if Branson’s firm was able to dodge paying tax through creative accounting. And he’s right about this, as well. The Canary’s Emily Apple also wrote a piece about this story. She also quoted the Mirror’s article, which reported that Branson’s firm had a turnover of £248.8 million last year, making a cool profit of £503,000. But this was wiped out by losses elsewhere in the group, so that Beardie’s firm didn’t have to pay cough up £96,000 in corporation tax. Oh yes, and you won’t be surprised to learn that its registered in the Virgin Islands, where Branson has his home. A notorious tax haven.

Dr Lister (any relation to the man who discovered antiseptic?) called Virgin Healthcare parasitic because, fragmenting services and poaching NHS-trained staff and undermining nearby NHS trusts, and not paying corporation tax, it only took from the state and added nothing of value.

Branson’s firm was criticised by former leader of the Green Party, Natalie Bennett, and Labour leadership candidate Keir Starmer. Prem Sikka tweeted that this wasn’t the only company Beardie owned that was trying to get more state money. So was the airline Flybe, which Beardie has a 30 per cent stake in. However, it can’t offer collateral as billionaire investors already hold charges over many of its assets. He summed this up as the wealthy elite continuing to pick everyone else’s pockets.

Devutopia also remarked that Branson’s firm wasn’t the only one profiting from the NHS. Linking to a story published last year by the Mirror, that noted 10 connections between them and the NHS, he stated that the Tories had also been using the health service as their cash cow. He wondered when the Beeb and Sky were going to notice this.

Apple concluded:

Between these deals and whatever deals Johnson ends up concocting with Donald Trump, our NHS needs us more than ever. It’s already being sold off piece by piece with parasites like Branson feeding on every bit he can get his sticky fingers into. We need to wake up. This is happening now. And if we don’t act now, it’ll be too late, and what’s left of our NHS will be auctioned off to the highest bidder.

See: https://www.thecanary.co/trending/2020/01/27/richard-branson-didnt-need-a-trade-deal-to-royally-screw-over-the-nhs/

Absolutely. The NHS needs protecting from parasites like Branson and the Tories. We need to wake up, and take action – NOW!

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