The Group of Seven high-income countries agreed on a "historic" deal that will result in a minimum corporate tax rate of at least 15 per cent, the UK's finance minister said.
The agreement to reform the global tax system would make it "fit for the global digital age" and ensure technology companies paid their fair share, Rishi Sunak said.
"That global minimum tax would end the race-to-the-bottom in corporate taxation, and ensure fairness for the middle class and working people in the US and around the world," US Treasury Secretary Janet Yellen said.
French Finance Minister Bruno Le Maire described the deal as "starting point" and said the G7 would fight "to ensure that this minimum corporate tax rate is as high as possible".
The G7 hopes to reach a final agreement at the July gathering of the expanded G20 finance ministers group, it added
Finance leaders from the US, Japan, France, Canada, Germany and Italy had been discussing the global minimum tax rate in London with Mr Sunak, in the first in-person meeting since the start of the pandemic, as the part of the UK's G7 presidency.
Under the principles of the reform, "the largest global firms with profit margins of at least 10 per cent" will be taxed more equitably, with 20 per cent of any profit above a 10 per cent margin taxed in countries where they make sales, according to the UK's finance ministry.
It said the G7 "also followed the UK’s lead by giving a commitment to make it mandatory for firms to report the climate impact of their investment decisions – and concrete steps to crack down on environmental criminals".
The agreement comes after US President Joe Biden's administration gave impetus to stalled global tax talks this year by agreeing to a minimum corporation tax rate of at least 15 per cent last month – well below the average in the G7.
Wealthy nations have struggled for years to agree on a way to raise more tax from large multinationals such as Google, Amazon and Facebook, which often book profits in jurisdictions where they pay little or no tax.
This includes Ireland, which currently has a 12.5 per cent corporate levy. It has been resistant to a higher levy.
“Even Ireland must understand they have to give agreement to this major breakthrough,” Mr Le Maire said on Friday.
The minimum rate aims to prevent major corporations from cheating the system by shifting profits to countries with low corporate tax rates, while also boosting governments' revenue after the coronavirus pandemic.
A G7 agreement to establish a minimum tax rate on big tech and other companies could bring in more than $200 billion a year in revenue for British and EU governments if a higher tax rate of 25 per cent were agreed to by the G7, research released by the European Tax Observatory shows.
Mr Sunak, who greeted leaders by bumping elbows rather than shaking hands to comply with Covid-19 restrictions, told ministers that the rest of the world was watching.
"We cannot continue to rely on a tax system that was largely designed in the 1920s," he said.
Mr Sunak said he wants to ensure "companies pay the right amount of tax in the right place", so that multinationals pay more tax where they make their sales – not just where they book profits, or locate their headquarters.
The application of a new global corporation tax rate will also lead to "the removal of all Digital Services Taxes, and other relevant similar measures, on all companies", a communique issued by G7 finance ministers and central bank heads said on Saturday.
The G7 leaders said they would progress measures "and look forward to reaching an agreement at the July meeting of G20 Finance Ministers and Central Bank Governors".
The G20 meeting is set to take place in Venice next month.
The G7 accord is part of a much broader, existing effort. The Organisation for Economic Co-operation and Development has been co-ordinating tax negotiations among 140 countries for years on rules for taxing cross-border digital services and curbing tax base erosion, including a global corporate minimum tax.
The OECD’s new secretary-general, Mathias Cormann, who took office last week, welcomed the signing of the agreement.
“Governments around the world need to be able to raise the necessary revenue to fund the essential public services and support that their populations require and expect, in a way that is efficient, least distorting and also fair and equitable”, Mr Cormann said.
“The combined effect of the globalisation and the digitalisation of our economies has caused distortions and inequities which can only be effectively addressed through a multilaterally agreed solution.
Conflict, drought, famine
Estimates of the number of deaths caused by the famine range from 400,000 to 1 million, according to a document prepared for the UK House of Lords in 2024.
It has been claimed that the policies of the Ethiopian government, which took control after deposing Emperor Haile Selassie in a military-led revolution in 1974, contributed to the scale of the famine.
Dr Miriam Bradley, senior lecturer in humanitarian studies at the University of Manchester, has argued that, by the early 1980s, “several government policies combined to cause, rather than prevent, a famine which lasted from 1983 to 1985. Mengistu’s government imposed Stalinist-model agricultural policies involving forced collectivisation and villagisation [relocation of communities into planned villages].
The West became aware of the catastrophe through a series of BBC News reports by journalist Michael Buerk in October 1984 describing a “biblical famine” and containing graphic images of thousands of people, including children, facing starvation.
Band Aid
Bob Geldof, singer with the Irish rock group The Boomtown Rats, formed Band Aid in response to the horrific images shown in the news broadcasts.
With Midge Ure of the band Ultravox, he wrote the hit charity single Do They Know it’s Christmas in December 1984, featuring a string of high-profile musicians.
Following the single’s success, the idea to stage a rock concert evolved.
Live Aid was a series of simultaneous concerts that took place at Wembley Stadium in London, John F Kennedy Stadium in Philadelphia, the US, and at various other venues across the world.
The combined event was broadcast to an estimated worldwide audience of 1.5 billion.
What can you do?
Document everything immediately; including dates, times, locations and witnesses
Seek professional advice from a legal expert
You can report an incident to HR or an immediate supervisor
You can use the Ministry of Human Resources and Emiratisation’s dedicated hotline
In criminal cases, you can contact the police for additional support
UAE currency: the story behind the money in your pockets
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
Specs
Engine: 51.5kW electric motor
Range: 400km
Power: 134bhp
Torque: 175Nm
Price: From Dh98,800
Available: Now
Tips to stay safe during hot weather
- Stay hydrated: Drink plenty of fluids, especially water. Avoid alcohol and caffeine, which can increase dehydration.
- Seek cool environments: Use air conditioning, fans, or visit community spaces with climate control.
- Limit outdoor activities: Avoid strenuous activity during peak heat. If outside, seek shade and wear a wide-brimmed hat.
- Dress appropriately: Wear lightweight, loose and light-coloured clothing to facilitate heat loss.
- Check on vulnerable people: Regularly check in on elderly neighbours, young children and those with health conditions.
- Home adaptations: Use blinds or curtains to block sunlight, avoid using ovens or stoves, and ventilate living spaces during cooler hours.
- Recognise heat illness: Learn the signs of heat exhaustion and heat stroke (dizziness, confusion, rapid pulse, nausea), and seek medical attention if symptoms occur.
The specs: 2018 Chevrolet Trailblazer
Price, base / as tested Dh99,000 / Dh132,000
Engine 3.6L V6
Transmission: Six-speed automatic
Power 275hp @ 6,000rpm
Torque 350Nm @ 3,700rpm
Fuel economy combined 12.2L / 100km
Results:
Men's 100m T34: 1. Walid Ktila (TUN) 15 sec; 2. Rheed McCracken (AUS) 15.40; 3. Mohammed Al Hammadi (UAE) 15.75. Men's 400m T34: 1. Walid Ktila (TUN) 50.56; 2. Mohammed Al Hammadi (UAE) 50.94; 3. Henry Manni (FIN) 52.24.
The%20end%20of%20Summer
%3Cp%3EAuthor%3A%20Salha%20Al%20Busaidy%3C%2Fp%3E%0A%3Cp%3EPages%3A%20316%3C%2Fp%3E%0A%3Cp%3EPublisher%3A%20The%20Dreamwork%20Collective%C2%A0%3C%2Fp%3E%0A
What can victims do?
Always use only regulated platforms
Stop all transactions and communication on suspicion
Save all evidence (screenshots, chat logs, transaction IDs)
Report to local authorities
Warn others to prevent further harm
Courtesy: Crystal Intelligence
LILO & STITCH
Starring: Sydney Elizebeth Agudong, Maia Kealoha, Chris Sanders
Director: Dean Fleischer Camp
Rating: 4.5/5
F1 The Movie
Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem
Director: Joseph Kosinski
Rating: 4/5
Specs
Engine: Dual-motor all-wheel-drive electric
Range: Up to 610km
Power: 905hp
Torque: 985Nm
Price: From Dh439,000
Available: Now
