Revealed: Barclays avoids almost £2bn in tax via Luxembourg scheme

Exclusive: Arrangement has allowed bank to earn billions of pounds nearly tax-free for over 12 years

Barclays has avoided nearly 2bn in tax via a lucrative arrangement in Luxembourg that allowed it to pay less than 1% on profits in the tax haven for more than a decade.

A Guardian analysis of Barclays' tax bills shows it is still benefiting from a controversial decision in 2009, in which it booked profits from the $15.2bn sale of a fund management business in Luxembourg rather than in the UK where it is headquartered.