Panasonic to move Europe HQ from UK to Amsterdam

London : Japanese multinational electronics company Panasonic will move its European headquarters from the UK to Amsterdam in the Netherlands in October as Brexit approaches.

The aim is to avoid potential tax issues linked to the UK's decision to leave the European Union (EU), BBC quoted Panasonic Europe's Chief Executive Laurent Abadie as saying.

Panasonic's decision was driven by a fear that Japan could start considering the UK a tax haven if it cuts corporate tax rates to attract business, Abadie told the Nikkei Asian Review newspaper.

The newspaper said employees dealing with auditing and financial operations would move, but those dealing with investor relations would stay put in the UK.

In 2016, the UK government pledged to cut corporate tax to encourage businesses to continue investing in the UK after the Brexit referendum.

In the run-up to March 2019, a number of multinationals have said they plan to move jobs out of the UK.

Britain voted to leave the EU in 2016, but with less than a year to go, the UK and the EU are struggling to reach a consensus on terms of the exit.