Johnson and Hunt accused of trying to turn UK into a haven for tax evasion and money laundering

Boris Johnson and Jeremy Hunt have been accused of trying to turn the UK into a haven for tax evaders and money launderers after the Tory leadership rivals each backed the creation of “freeports” on the east coast.

Under proposals being considered by Johnson, Teesside, Aberdeen and Peterhead could become economic zones, considered independent for customs purposes, that charge no taxes or tariffs on imports.

These zones, known as freeports, are typically used to store high-value items such as valuable artworks, precious stones or antiques. They were heavily criticised by a European parliament report last year for facilitating “illegal activity” such as tax evasion and money-laundering.

The Guardian reports that the Liberal Democrat MP and party leader hopeful Ed Davey said: “Looking to freeports for economic salvation once they’ve pushed us off the cliff shows the desperation of Boris Johnson, Jeremy Hunt and Tory Brexiteers.

“The British economy is fundamentally sound as part of the EU, but their vision means the UK would become one of the world’s most opaque, unregulated, and easily manipulated economies.

“We should be leading the world in business transparency, not promoting structures that have the potential to facilitate money laundering.”

Via The Guardian