Richard Branson offers his private island as collateral to receive help to save Virgin Atlantic

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Richard Branson offers his private island as collateral to receive help to save Virgin Atlantic | Secret Flying

Richard Branson warns Virgin Atlantic will collapse without taxpayer help.

 

British billionaire Richard Branson has offered to put his private island up as collateral in order to save Virgin Atlantic from collapse.

 

The businessman offered his own private Caribbean island of Necker, estimated by Forbes to be worth £80 million, as collateral for taxpayer cash.

 

The offer came only hours before Virgin Australia was set to enter administration.

 

The Australian carrier has become the world’s first long-haul airline to file for bankruptcy due to the coronavirus crisis.

 

The airline had asked the Australian government for over $1 billion AUD in aid, but the request was denied.

 

Branson, 69, warns that Virgin Atlantic will suffer the same fate unless British taxpayers support his airline in the form of a £500 million commercial loan.

 

In an open letter to all of Virgin Group, he said: “As with other Virgin assets, our team will raise as much money against the island as possible to save as many jobs as possible around the Group.”

 

“I’ve seen lots of comments about my net worth – but that is calculated on the value of Virgin businesses around the world before this crisis, not sitting as cash in a bank account ready to withdraw.”

 

Richard Branson, who is the UK’s seventh richest person with an estimated £4.7 billion fortune, and has lived tax-free on Necker Island in the British Virgin Islands for the last 14 years.

 

He is now facing mounting criticism for asking for taxpayer help, when he has gone so far to avoid paying UK tax himself.

 

 

Diane Abbott, the MP for Hackney North, tweeted: “Branson has not paid tax in this country for 14 years. On no account should he get a taxpayer bailout, loan or otherwise.”