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JimDiGritz

Labour Party's Property Firm Cashed In On Cheap Loans From Co-Op

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http://www.telegraph.co.uk/news/politics/labour/10471476/Labour-Party-cashed-in-on-cheap-loans-from-Co-op.html

Labour's property portfolio, including Ed Balls’s constituency buildings, have benefited from cheap loans from the Co-operative Bank, the Telegraph can disclose.

Labour Party Properties Ltd (LPPL), a property firm wholly owned by the Labour Party, has used its £6.3 million portfolio to secure £3.8 million of cheap finance from the Co-op Bank. The properties used as collateral in the deal include Morley Labour Rooms in the shadow chancellor’s West Yorkshire constituency.

Unbelievable.

I'm not going to get into Red vs Blue here, I'm sure the Tories have a similar vehicle....

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The Telegraph has previously revealed how LPPL has paid no tax since 2003 despite collecting millions of pounds in revenues, after declaring successive losses

Does anyone know how this was achieved?

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The Telegraph has previously revealed how LPPL has paid no tax since 2003 despite collecting millions of pounds in revenues, after declaring successive losses

Does anyone know how this was achieved?

Remarkably easy. Whatever money you make that might become a taxable profit, you re-invest. In the case of a property empire, that might very well be reinvesting in more property.

I guess that means you'd be keen not to let property prices fall ....

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"Labour Party Properties Ltd (LPPL), a property firm wholly owned by the Labour Party, has used its £6.3 million portfolio to secure £3.8 million of cheap finance from the Co-op Bank."

That says it all about New Labour. Just as bad as the Tories.

Scumbags.

Edited by SleepyDog

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The Telegraph has previously revealed how LPPL has paid no tax since 2003 despite collecting millions of pounds in revenues, after declaring successive losses

Does anyone know how this was achieved?

If the company borrows against their assets, then they can write off the interest payments against any income and thereby reduce their tax payments.

This strategy would be risky if the borrowing was actually a real loan made on commercial terms. Of course, if the lending were all done on a friendly basis where the bank was never going to repossess in case of default (because the head of the bank owes his position to a certain political party), then it would be less risky (though possibly a case of tax fraud).

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Wasn't that also the case with the Bishop of Bath and Wells in the first Blackadder series?

No, he had an extremely hot poker that he'd stick somewhere if you didn't pay up. His small print was "Pay up or your bottom will wish it had never been born!".

Edit: also it was the 2nd Blackadder series, not the first.

Edited by SHERWICK

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Is there anyone without a VI in property in this country (apart from us). :lol:

Seems to be a form of State financing for political parties. via the expenses system, which then gets laundered via the property arms of LabourTory.

Might just as well have a one party State and be done with all the bread and circuses antics of Westminster.

Edited by aSecureTenant

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http://www.telegraph.co.uk/news/politics/labour/10471476/Labour-Party-cashed-in-on-cheap-loans-from-Co-op.html

Unbelievable.

I'm not going to get into Red vs Blue here, I'm sure the Tories have a similar vehicle....

As you say I am pretty sure you will find that all the major parties have property portfolios and that they have all been used as leverage for loans

http://www.independent.co.uk/news/uk/politics/tycoon-appointed-to-run-tory-property-portfolio-358025.html

Edited by stormymonday_2011

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No, he had an extremely hot poker that he'd stick somewhere if you didn't pay up. His small print was "Pay up or your bottom will wish it had never been born!".

If the Coalition changed the law, there would be a few Conservatives willing to recover Labour's dodgy money on that basis! :o

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