US food giant Kraft has confirmed plans to restructure chocolate-maker Cadbury by moving part of the business to Switzerland in a move which could reduce its UK tax bill.
Kraft Foods said the reorganisation, which will have no significant impact on its UK staffing levels, would see Cadbury integrated into its existing European business model.
The Guardian reported that the changes being implemented by Kraft, which took over Birmingham-based Cadbury earlier this year, were likely to slash its bill for UK corporation tax.
It is understood that Kraft intends to finalise the changes next year, relocating a small number of key roles to its European headquarters in Zurich.
A spokesman for Kraft said: “Since 2006 we have been implementing our European model involving a (holding) company based in Zurich together with local companies in country markets.
“The reorganisation has given us greater focus on our priority brands and has helped us grow faster. We are integrating Cadbury into this model.
“This involves the transfer of certain roles to Switzerland, though the majority of UK-based roles will remain in the UK.”