Charity War on Want and union Unite have accused Alliance Boots of avoiding over £1.1 billion in taxes since 2008. According to a report published today, the company’s private equity owners have lawfully avoided paying “their fair share” of taxes through loading it up with loans from low-tax jurisdictions.

"Ministers have allowed corporations such as Boots and its private equity owners to abuse the UK's tax system. It is time for proper rules to make companies like Boots pay their fair share," said John Hilary, executive director at War on Want.

Alliance Boots, which operates the Boots chain of pharmacies that dot main streets across Britain, said in a statement: "Alliance Boots conducts its business and organises its tax affairs strictly in compliance with all applicable law (including legislation in the UK) and observes the highest standard of good ethics."