John Caudwell's four-word response after legally dodging tax in Phones 4U days

Mega-rich John Caudwell is calling on the Government to scrap tax avoidance schemes - despite once benefitting from them himself. The Stoke-on-Trent billionaire admitted he was advised to use such schemes during his days running Phones 4U.

But the 72-year-old, who grew up in Shelton and Bentilee, responded 'morally it's not right' when questioned about whether he regretted taking advantage of such loopholes.

The former Berryhill High School student was asked on BBC Radio 4 today: “Is it fair to say you regret at using some tax-avoidance schemes to find money to put into the business? Could you have done it any differently?”

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And he replied: “Ooh gosh, I mean there were legitimate tax-avoidance schemes, of course ethically and morally it’s not right. Yes I could have done it without those tax schemes, but you’re new to business and these tax advisers are pouring through the doors… I changed my views on that dramatically over the years. It’s not right, it’s not proper, and I’ve encouraged governments to stamp out all these tax advice schemes which are to the detriment of the British public.”

According to The Sunday Times Rich List, John is the 109th richest person in Britain, worth £1.54billion. He made his fortune after spotting the potential of mobile phones.

With his brother Brian, in 1987 John registered Midland Mobile Phones as a mobile phone wholesaler taking 26 Motorola mobiles at £1,350 each. It took eight months to sell all 26 phones to plumbers, taxi drivers and television repairmen at a price of £2,000 each. The company made a loss every month for the first two years of operations.

However, the business then grew exponentially and he sold Phones4u in 2006 for just under £1.5 billion. He has since concentrated on his charity work including setting up Caudwell Children.

In 2013 the businessman was one of the first British billionaires to agree to the Giving Pledge, a movement founded by Microsoft founder Bill Gates, wife Mellissa and fellow billionaire Warren Buffet that encourages the world's wealthiest people to give back and address some of society’s most pressing challenges.

John, who backed Labour ahead of the General Election, estimates he has personally donated between £40million and £50million to charity already but has vowed to give 70% of his fortune away during his lifetime and after he dies.

His main residence is Broughton Hall near Eccleshall, but he also splits his time between homes in Monaco and London's Mayfair, as well as trips on their yacht Titania.

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