The Shareholders and Board seek to maintain the Group’s reputation as a fair contributor to both the UK and worldwide economy, which applies tax rules in good faith and in the spirit intended. The purpose of the Tax Strategy is to communicate the policy for the management of tax within Bettys & Taylors Group Limited and its subsidiary undertakings (“the Group”).

The Tax Strategy is owned and approved by the Board of Bettys & Taylors Group Limited (“the Board”). It is reviewed and updated annually by the Group Finance & Resources Director (“GFRD”) with any changes being endorsed by the Audit & Risk Committee and recommended to the Board. Changes to the strategy require formal Board approval.

This tax strategy was published on 31 October 2025 and Bettys & Taylors Group Limited regards this publication as complying with its duty under paragraph 16(2) Schedule 19 FA 2016 in its financial year ended 31 October 2025.

Governance and risk management

The Board is ultimately responsible for the Tax Strategy. The Board has delegated this responsibility to the GFRD who will report to the Board as required. The Board is responsible for ensuring there is an appropriate framework for the implementation of the policy and oversight of the identification and management of UK and Worldwide tax risk. The Board maintains responsibility for implementing new controls where material tax risks are identified. To enable this a tax specific risk register is maintained to identify and monitor tax risk within the Group.

The tax risk register is designed to:

• identify tax risks in a consistent and formal manner;
• assess tax risks using standardised definitions;
• formalise the tax risk management framework;
• facilitate testing of mitigating controls i.e. monitoring;
• provide an escalation framework to the main risk register; and
• give visibility for high level Board reporting to facilitate appropriate oversight over the tax risk identification and monitoring framework.

The competence of the Group and divisional finance teams is ensured via tax training in accordance with the nature of their roles.

In respect of legislative changes and emerging best practice, members of the Group and divisional finance teams receive regular updates from external tax advisors.

External advisers are used to assist with seeking clarity and support on tax implications and tax planning advice relating to operational change, exceptional items, and large and complex transactions and areas of the business, due to their technical expertise in such exceptional matters, particularly if a position is uncertain.

The use of external advice is assessed and agreed with the GFRD and is focused on providing both technical and commercially relevant advice and guidance to the Group.

Attitude to tax planning and tax risk

To comply with legal requirements, the Group operates in a manner that ensures we pay the right amount of tax underpinned by a tax philosophy based on an open, co-operative and transparent relationship with the Tax Authorities. In adopting this approach, the Group ensures it acts in accordance with the Group Values, by complying with the law, claiming all incentives, allowances and relief, whilst paying all tax that is rightly due.  

This approach provides a simple and clear view of the behaviours, purpose and values associated with taxes and the Group considers, therefore, that it has a low tax risk appetite and works to mitigate and minimise risk arising from UK and Worldwide taxes wherever possible. In addition, these principles influence and guide the Groups attitude and approach to tax planning, as well as considering how external factors such as fiscal policy, industry standards and the wider economic environment can influence the Tax planning and Tax strategy.

Tax performance will be measured in the following ways:

• A clearly understood, communicated and supported strategy;
• Paying the appropriate amount of tax at the appropriate time;
• Forecasting and planning tax cash payments accurately;
• Our approach to structuring tax planning which involves ensuring the most effective tax elections, claims and options are considered, with respect to materiality, to manage the tax paid by the Group; and
• Implementing and maintaining a governance framework of controls, principles and procedures relating to all taxes ensuring that the correct amount of tax is paid, whilst aligning with the sentiment of our Group values.

Relationship with HMRC

The Group seeks a transparent and constructive relationship with all tax authorities, both UK and overseas, through regular communication in respect of developments in the business, current, future and retrospective tax risks, and interpretation of the law in relation to all relevant taxes.

The Group is committed to meeting its compliance obligations in a timely manner, making accurate returns, and providing adequate disclosures on returns and in relation to specific transactions.

Any errors in submissions made to HMRC are fully disclosed as soon as reasonably practicable after they are identified.

Subsidiary undertakings

The subsidiary undertakings of Bettys & Taylors Group Limited are as follows:

• Bettys & Taylors of Harrogate Ltd
• Bettys Bakery Ltd
• Bettys of Harrogate Ltd
• Bettys of York Ltd
• Kings Master Bakers Ltd
• Prospect Foods (York) Ltd
• Taylors of Harrogate Ltd
• Taylors of York Ltd
• Taylors Tea & Coffee Ltd
• Yorkshire Tea Blenders Ltd
• The D:Caff Company Ltd