Firm says it has been authorised to clear outstanding obligations to tax authorities

Avison Young has described the tax authorities’ recent legal proceedings against it as “a surprise” and confirmed it had made steps to resolve the dispute.

Roughly a week ago, HMRC filed winding-up petitions against five companies that make up the real estate firm over a historical tax obligation.

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A winding up petition is a legal action that can be taken by a creditor against a company that owes it £750 or more. If granted, winding up orders can lead to a company’s bank accounts being frozen.

However, in a statement released on Thursday (30th July), Avison Young confirmed it had been given “authorisation from the court to clear all outstanding obligations to HMRC” and that “the remaining steps to have the petition formally removed are purely administrative and are expected to conclude imminently”

It said that before the legal action its finance team had been in regular dialogue with HMRC about the outstanding liability.

“We had initiated payment dates which we understood to be acceptable to HMRC and expected those discussions to continue,” it said. 

“The decision to initiate legal proceedings therefore came as a surprise.

 “Although HMRC initiated legal proceedings, it neither served the order nor disputed our application to have it set aside once payment had been made.”

Avison Young, which is headquartered in Birmingham, recorded steady turnover of £212.6m in the year to 31 December 2024, but recorded a pre-tax loss of £101.9m in both that period and in the year prior. Its latest accounts are due to be filed in the coming months.

In its statement on Thursday, it said its UK business performed “in line with budget” for the first half of the year, delivering revenue and EBITDA growth.

Avison Young has 11 offices across the UK’s major cities.