Digital Services Tax: will Reeves let big tech off lightly to avoid tariffs?

Rumours are circulating that the Digital Services Tax on big tech companies could be cut as Rachel Reeves seeks to appeal to president Trump

Rachel Reeves, UK chancellor of the exchequer, during a Bloomberg Television interview in London
(Image credit: Jason Alden/Bloomberg via Getty Images)

Big tech tax receipts could be about to plummet as UK chancellor Rachel Reeves mulls a reduction in the Digital Services Tax (DST).

The DST taxes big tech companies – most of which are US-based – on their revenue from the UK, at a rate of 2%. It raises around £800 million annually for the UK Treasury.

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Dan McEvoy
Senior Writer

Dan is a financial journalist who, prior to joining MoneyWeek, spent five years writing for OPTO, an investment magazine focused on growth and technology stocks, ETFs and thematic investing.

Before becoming a writer, Dan spent six years working in talent acquisition in the tech sector, including for credit scoring start-up ClearScore where he first developed an interest in personal finance.

Dan studied Social Anthropology and Management at Sidney Sussex College and the Judge Business School, Cambridge University. Outside finance, he also enjoys travel writing, and has edited two published travel books.