Uber could be facing UK VAT bills in excess of £2 billion following its defeat in the Supreme Court, which ruled its drivers are not self-employed.
Everyone is now waiting on HMRC’s move to reclaim the outstanding monies.
Uber did not pay VAT on fares because it claimed its drivers were independent contractors and not workers.
Professor Richard Murphy of Tax Research UK said the implications for Uber’s bottom line could be even greater, as the ruling could lead to a clampdown on Uber across Europe. He explained: “If they have got a VAT liability in the UK…they have a tax liability in every country in the EU as well.”