B&M abandons Luxembourg tax haven amid profit pressures
B&M is ditching Luxembourg, its European tax haven base for over a decade, in favour of Jersey
B&M is ditching Luxembourg, its European tax haven base for over a decade, in favour of Jersey as it seeks to streamline its corporate setup and offer shareholders greater flexibility in returning capital.
According to City AM, the discounter, headquartered operationally in Liverpool but listed in London, said the move will allow investors to hold shares directly through the UK’s CREST system rather than via depository interests.
This change means B&M will also come fully under the UK takeover code, while future dividends will no longer face withholding tax.
Despite the relocation, B&M will keep its London Stock Exchange listing and remain part of the FTSE UK Index.
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The switch marks a strategic shift after more than ten years in Luxembourg, where the discounter aimed to attract investment and simplify its structure. However, the company has consistently insisted it pays full UK tax and does not benefit from Luxembourg’s tax advantages.
Earlier this month, B&M saw pre-tax profits plunge to £431m for the year ending March 2025, down from £498m the previous year, and a rise in net debt to £781m. Meanwhile, revenues edged up to £5.5bn.
Shares fell sharply following the results but have since rebounded somewhat.
B&M also recently named former Tesco executive Tjeerd Jegen as CEO following Alex Russo’s departure amid tougher trading conditions.
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