Football icon John Barnes recently disclosed his tax challenges, emphasizing his commitment to settling his obligations. The former Liverpool and Watford player, known for being one of the first to earn £10,000 per week, revealed that he has been diligently repaying HMRC for the past eight years after facing significant financial losses from ill-advised investments.
In an interview on the All Things Business podcast, Barnes clarified misconceptions surrounding his financial situation. He disclosed that since 2017, he has already paid back approximately £2.2 million and continues to make monthly payments of £10,000 as per agreements with tax authorities. Last year, the Insolvency Service banned the 60-year-old Barnes from acting as a company director due to his business’s failure to settle a tax debt of £190,000. Additionally, recent reports indicated that HMRC initiated legal action against him for outstanding debts amounting to £1.5 million.
Barnes recounted his financial challenges, acknowledging his losses of £1 million to £1.5 million over four years due to misplaced trust in advisors. He highlighted his ongoing efforts to address his tax issues, expressing his determination to avoid bankruptcy by collaborating with HMRC.
Despite facing negative publicity and its impact on his professional engagements, Barnes remains resilient. He addressed the repercussions on his career opportunities, particularly in the finance sector, due to the media scrutiny surrounding his financial turmoil. However, he remains grateful for his ability to work and meet his financial responsibilities, emphasizing his commitment to transparency and debunking false narratives about his tax affairs.
The Insolvency Service’s investigation into Barnes’ former media representation company revealed non-payment of taxes despite substantial turnover. Consequently, Barnes accepted a disqualification undertaking prohibiting him from holding directorial roles without court approval. Mike Smith from the Insolvency Service emphasized the importance of tax compliance in supporting public services and infrastructure.
Throughout his illustrious career, Barnes earned 79 caps for England and later ventured into coaching. Despite his financial setbacks, Barnes continues to maintain a positive outlook, focusing on his work and family’s well-being. His decision to address misconceptions and set the record straight reflects his dedication to financial integrity and transparency.