Large companies paid nearly £83bn in tax in 2017

Corporation tax payments from the UK’s biggest companies rose by 33% in 2017 to £6.39bn according to research by PwC. The businesses included most of the FTSE 100 several large private firms and some UK operations of multinational groups.

The increase is attributed to the introduction of the bank surcharge from January 2016 loss relief and compensation payment restrictions affecting the banks and increasing profitability.

The research shows taxes that are a direct cost to a company increased by 6.3% to £25.3bn compared with the previous 12 months. Taxes collected for the government – such as PAYE and fuel duties – decreased by 1.4% to £57.6bn.

The rise in taxes borne was driven largely by the 33% increase in corporation tax receipts and a 4.4% increase in employers’ National Insurance (£25.7bn).

The study noted that companies spent £9.2bn on research and development up 7.7% from 2016....