Good News or Bad?

British companies will be able to keep more of their cash from the grabbing hands of Gordon Brown thanks to an ECJ ruling.

A ruling in the European courts on controversial tax rules for British companies with subsidiaries in other member states could result in millions of pounds being returned to UK firms and a revision of UK tax laws

At first sight, this looks like a ruling for common sense. Gordon’ avarice is being tempered by those nice chaps in the ECJ. But do not be fooled.

Sovereignty means the risk of bad rule from Westminster, as well as the dream of just rule. This ruling is another nail in the coffin of the veto on tax issues. It also adds urgency to the tax harmonisers arguments. Much more of this and Gordon might even join them.