Background

The publication of this UK Tax Strategy statement is regarded as satisfying the statutory obligation under Para 19(2), Schedule 19, Finance Act 2016. “The Group” refers to all UK entities within the Lagan Operations and Maintenance Group of companies as detailed at the end of this document.

Overview of Internal Governance

The Group’s tax strategy, which covers both the internal governance of tax matters and the approach to tax, is approved by the Board of Lagan Operations and Maintenance Holdings Limited for it and its subsidiaries.

Tax is primarily the responsibility of the Chief Financial Officer who sits on the Holding Company’s Board. Day to day tax matters are delegated to the Group Finance Director and the Financial Controllers across the Group, along with a team of in house professionals who hold a combination of qualifications and experience appropriate to their roles and the assigned tax responsibilities. Group staff have access to online tax libraries as well as HMRC’s own online material. In addition, a number of tax functions are outsourced to independent third-party tax professionals.

The Chief Financial Officer and Group Finance Director hold regular meetings with external tax professionals to ensure the Group continues to comply with best practice.

The Group Finance Director in conjunction with the Financial Controllers across the Group ensure that adequate controls are in place so that the correct amount of taxes are identified and paid on a timely basis. 

Approach to risk management

All Board meetings are attended by either the Chief Financial Officer or Group Finance Director and there is a standing item to provide any updates on significant tax risks and developments.

An internal procedures document maintained by the Group Finance Director outlines the tax compliance procedures, controls in place and the role of the person responsible for them.

All senior members of the Finance team attend external seminars on a regular basis to ensure full awareness of tax developments and internal seminars drawing on external expertise are run as required.

The Group has a low-risk attitude in relation to tax and seeks to minimise the risk of uncertainty or disputes.

Attitude to tax planning

The Group is predominantly made up of UK businesses and all taxes are paid in the relevant jurisdictions in which a tax liability arises as required by local laws.

The Group does not engage in aggressive tax planning arrangements and the Board has a low-risk attitude in relation to tax.

The Group does not engage in artificial arrangements, the sole purpose of which is to reduce tax. The Group will only engage in reasonable tax planning that is aligned with commercial and economic activity. The Group will utilise reliefs and incentives that exist to reduce the overall costs incurred whilst ensuring these are in keeping with the intention of the tax legislation. 

The Group will only acquire businesses for strategic purposes and not to take advantages of tax opportunities such as tax losses. New companies or branches will only be located in the tax jurisdiction where there will be genuine commercial activity and not because of the tax regime in that jurisdiction.

Relationship with HMRC

The Group is committed to working in a transparent and proactive way with HMRC. The approach to dealing with HMRC is based on openness and transparency. The Group seeks to deal with all enquiries from HMRC in a speedy and timely matter with view to closing out any issues as soon as practically possible. The Group proactively seeks the views of HMRC on any uncertain tax matters where possible.

Approval and Accounting Period Covered

This document, approved by the board of Lagan Operations and Maintenance Holdings Limited, sets out the Group’s approach to conducting its tax affairs and dealing with tax risks for the accounting period ending 31 March 2024.

Group Companies included within this Tax Strategy

The Group companies covered by this Tax Strategy are as follows: –

Lagan Operations and Maintenance Holdings Ltd 

Lagan Operations & Maintenance Ltd 

LOM Materials Limited 

Lagan Traffic Management Ltd 

Lagan Barrier Solutions Ltd 

Lagan Electrical Solutions Ltd 

Lagan Traffic Solutions Ltd