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Jessica Fino 10 Jan 2017 05:33pm

Snapchat to open international headquarters in London

Snap, the company behind messaging app Snapchat, has announced it will open its international headquarters in London

The company confirmed on Tuesday that it would be moving its non-US operations to the UK capital.

The firm's London office in Soho currently has 75 employees, up from six last year, and is already hiring an extra number of engineers, designers and financial analysts.

Claire Valoti, general manager of Snap Group in the UK, said, "We believe in the UK creative industries. The UK is where our advertising clients are, where more than 10 million daily Snapchatters are, and where we've already begun to hire talent."

Liam Fox, international trade secretary, said on Twitter, “Great news that Snapchat will base international operations in London recognising UK as a great place to build a global business."

Snapchat’s decision to base its international operations in the UK is in contrast to recent reports that some businesses were shifting operations out of the country following the Brexit vote.

The firm's move to London also contrasts with other US tech companies, which commonly choose to set up their headquarters in countries where the corporate tax rates are lower, such as Ireland and Luxembourg.

Facebook announced last March that it would be paying significantly more in UK tax after criticism over its 2014 tax bill forced the social media giant to announce it would no longer route UK advertising sales through Ireland.

In December, a Dutch regulatory filing showed that Google saved $3.6bn in taxes in 2015 by using a so-called “Double Irish” tax arrangement. Alphabet, Google’s parent company moves most of its non-US profits through the controversial Dutch subsidiary, which has no employees.

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