Cadbury owners Kraft are facing a fresh House of Commons inquiry after announcing plans to move part of the business to Switzerland.
The Business, Innovation and Skill Select Committee is set to re-open its investigation into the US food giant’s takeover of the Birmingham-based confectioner.
It follows Kraft’s announcement that it is to restructure the chocolate-maker and move some key roles to Switzerland.
The change is expected to slash its bill for UK corporation tax, costing the Treasury millions of pounds.
UK corporation tax is levied at 28 per cent, while rates at Kraft’s European headquarters in Zurich begin at 15 per cent.
The Commons Business Select Committee held a special inquiry into the takeover in March, although its attempts to summon Kraft chief executive Irene Rosenfeld for a grilling were rebuffed when she refused to attend.
But MPs are now planning to examine the sale of Cadbury again, as part of a wider inquiry into takeover laws and regulations.
It follows the announcement in October by Business Secretary Vince Cable that the Government would review laws and regulations governing executive pay and hostile takeovers.
The committee is to look again at the Cadbury sale when it examines the results of Dr Cable’s review, which was itself prompted partly by the controversial takeover.
MPs will also examine whether Kraft has kept the assurances it made to the committee that no manufacturing facilities in the UK would be closed for at least two years, and that no manufacturing employees would face compulsory redundancy for two years.
Committee chairman Adrian Bailey (Lab West Bromwich East) said he was concerned the tax-saving changes to Cadbury’s structure would cost jobs.
He said: “It is a matter of huge concern and it is ironic that it coincides with a Government crackdown on tax avoidance.
“We held an inquiry into Kraft earlier in the year. There was huge concern about that issue and Kraft did make a commitment to ensuring the number of employees in the UK during the course of the inquiry.
“It now seems unlikely that commitment will be upheld. We have got it on our list of issues to take up.”
