FirstFT: High Court judges invest in tax avoidance schemes

On top of today’s news, three High Court judges have invested in controversial tax avoidance schemes which have been challenged by HM Revenue & Customs, including a judge who ruled on tax avoidance cases, raising questions about the UK’s lax approach to disclosing judicial interests.

The investments of Justices Joanna Smith, Simon Bryan and Martin Griffiths were first made about a decade ago, before their appointments to the High Court, but in Bryan and Griffiths’ cases after they began their judicial careers.

Each retained their interests in the schemes after taking up their positions as High Court judges, Companies House records show.

Two other sitting High Court judges made similar investments in tax schemes which have since been closed, one of which was described as “highly abusive” and “completely contrived” by a government minister.

The revelations raise questions about the judgment of some of the UK’s top legal minds, as well as the High Court’s nomination process and the absence of rules requiring UK judges to make formal information about their financial affairs public or private.

Here’s what else I’m keeping an eye out for today:

• Economic data: The EU releases flash data on Q1 gross domestic product and employment, while the UK has its monthly labor market report and the Zew Economic Sentiment survey is due for Germany.

• European Central Bank: ECB Supervisory Board member Anneli Tuominen and Dominique Laboureix, Chair of the Single Resolution Board, speak at the Madrid campus of Iese Business School.

• Cannes: The 76th edition of the internationally renowned film festival kicks off in the south of France.

• Results: Boohoo.com, Bouygues, Britvic, Imperial Brands, Land Securities, report by Marston’s and Vodafone.

Five more top stories

1. The UK Police Minister has pushed for more use of facial recognition technology by law enforcement agencies across the country. Any such move by Chris Philp, who was appointed state minister for crime, police and fire last October, could be divisive as critics argue that the technology is inaccurate and some of its applications illegal.

2. Ford plans to cut future investments in China, with the company’s chief executive telling the Financial Times there was “no guarantee” that Western automakers could win against local EV rivals. Instead, Ford will use the market to help it better understand battery technology. Read more from Jim Farley’s FT interview.

3. The EU should crack down on India reselling Russian oil as refined fuels, including diesel, in Europe, said the bloc’s senior foreign policy representative. Josep Borrell told the Financial Times that Brussels was aware of the presence of the Indian refineries purchase large volumes of Russian crude before processing it into fuel for sale in Europe.

4. Norway’s $1.4 trillion oil fund to step up use of shareholder propositions to send messages on environmental, social and governance topics to US companies. The largest sovereign wealth fund in the world made climate shareholder proposals to four US companies for the first time this year and said he considered the trial a success.

5. Record levels of share buybacks are attracting complaints by major investors concerned that the practice is boosting executive bonuses but providing only limited benefits to shareholders. The 1,200 largest public companies in the world collectively repurchased a record $1.3 trillion of its own shares last year, three times as much as a decade ago.

In-depth news

As the European central bank moves forward with the development of an electronic currency, conspiracy theories are swirling, with some fearing that the state will use it to track and control citizens’ spending. While many politicians hope a digital euro could be launched in just three years, they are struggling to communicate compelling arguments for the projectwith naysayers arguing that it is a solution looking for a problem.

We are also reading. . .

Don’t miss this episode of FT Talent Podcast to hear Chief Economist Martin Wolf discuss how he built his career.

Chart of the day

The platinum market is expected to post its biggest deficit this year since records began in the 1970s, as supply falters in South Africa and China’s industrial expansion takes the lead. Deficit scores a clear reversal from the oversupply of the bumper in the previous two years, when auto manufacturing was hit by semiconductor shortages.

Take a break from the news

After the lockdown and the “Great Slobification,” the sartorial confusion between home and work continued, further boosted by the broader casualization of office wear. If you have a “nostalgic longing for a forked wardrobe”you are not alone, writes Emma Jacobs.

Additional contributions of Emilia Goldberg