The Evil Diaries: Tesco, Poundland, Purplebricks and Mulberry

Getting on for forty years ago Tesco (TSCO) decided to offer its customers something along the lines of Fresh Start which was just a discounted offering. HMRC took it into its fat head to argue that this was a new trade and under the barmy regime of Old Labour a cessation of a trade had considerable adverse taxation consequences. (When I refer to “barmy” younger readers have to imagine a party dominated by circa one hundred Dennis Skinners with none of the wit and all the stupidity. Yes, it really is possible.)

In the end Tesco won in the courts but the cost to them in legal fees and wasted time would have been colossal.
It has been much the same over at Poundland (PLND) where the CMA took nine months to conclude (at taxpayers’ expense) that a merger with 99p stores was not contrary to the public interest (how could there be in this case where all that was in point was a price level for marketing purposes?). Anyway, this delay has seriously damaged Poundland’s conduct of its business and so caused major losses. No apologies from HMG, mind you.

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I never thought that I could have spoken pro Green interests but the Daily Mail is surely a bit ungallant calling Lady Green shifty unless they seek (unlikely) to note that she wears a shift. She simply has a successful investment manager and benefits mightily. I call that nifty.

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I sold Purplebricks (PURP) at 130p since I had tried to understand today’s results statement but given up.

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Finally, Mulberry (MUL), £10.30, continues its trip up in the ether. Today’s results cannot possibly be construed as supportive to the buy case. But this has been so for years and years. One day…