The EU today sparked a fresh diplomatic storm with Britain by stepping up efforts to force the UK to pay a £2.4billion fine for allegedly helping Chinese criminals evade tax.
EU officials said UK 'negligence' allowed criminals operating in China to flood Europe with cut-price clothing after dodging customs payments at British ports.
Olaf, the EU's anti-fraud body, accused Britain of repeatedly ignoring warnings that the groups were grossly undervaluing millions of products being shipped into the UK.
Investigators today gave Britain two months to say it will pay up or face being hauled to the European Court of Justice.
The threat will heap fresh pressure on the UK's already very strained relations with the EU just when Brexit negotiations are teetering on a cliff edge.
The EU today sparked a fresh diplomatic storm with Theresa May (pictured yesterday going to church with her husband Philip in Maidenhead) by stepping up efforts to force the UK to pay a £2.4billion fine for allegedly helping Chinese criminals evade tax
Theresa May is furious with EU leaders for humiliating her at the Salzburg summit last week when they queued up to pour scorn on her Brexit Chequers plan.
She hit back with a tough statement in Downing Street where she demanded 'respect' and warned that Britain is stepping up its preparations for a no deal Brexit.
In a statement released today, the European Commission said: 'In March 2018, the Commission opened the infringement procedure following a 2017 report by the EU's anti-fraud body OLAF, which found that importers in the United Kingdom evaded a large amount of customs duties by using fictitious and false invoices and incorrect customs value declarations at importation.
'Further Commission inspections confirmed the very large scale of this undervaluation fraud scheme operating through British ports between 2011 and 2017.
'Despite having been informed of the risks of fraud relating to the imports of textiles and footwear originating from the People's Republic of China since 2007, and despite having been asked to take appropriate risk control measures, the United Kingdom failed to take effective action to prevent the fraud.'
It adds: 'The United Kingdom now has two months to act; otherwise the Commission may refer the case to the Court of Justice of the EU.'
The demand could see the UK having to pay the huge sum directly into the EU budget on top of the separate Brexit payment that is agreed during talks.
It comes as Theresa May is facing fresh pressure to drop her Chequers plan and back a Canada-style 'clean Brexit' today as she gathers Cabinet.
The PM is meeting ministers in the wake of her humiliation at the hands of EU leaders in Salzburg last week.
EU officials (pictured, the European Commission) said UK 'negligence' allowed criminals operating in China to flood Europe with cut-price clothing after dodging customs payments at British ports
The session has been called to consider new post-Brexit migration rules - but some ministers are expected to make clear their unhappiness with Mrs May's approach.
Brexiteer Cabinet ministers have played down claims that they are planning to quit at this stage.
The meeting comes as Eurosceptics published an alternative blueprint for relations with the EU.
The analysis, by the free market Institute of Economic Affairs think tank (IEA), urges ministers to break the deadlock in negotiations with Brussels by seeking a 'basic' free trade agreement for goods.
At the same time, it says the Government should open simultaneous discussions on securing new long-term free trade deals with countries such as the United States, China and India.
In order to ensure there is no return of a 'hard border' between Northern Ireland and the Republic, the report calls for 'cooperation mechanisms' to enable trade 'formalities' between the two jurisdictions to be completed away from the border.
Link textbacklinkexchanges.com
https://textbacklinkexchanges.com/eu-demands-uk-pay-2-4bn-bill-for-allegedly-helping-chinese-criminals-avoid-paying-taxes/
News Pictures EU demands UK pay £2.4BN bill for allegedly helping Chinese criminals avoid paying taxes
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https://i.dailymail.co.uk/1/2018/09/24/12/4514470-0-image-a-8_1537790254095.jpg
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