Alastair Lunt was the director of Peak PAYE when it caused losses of at least £2.64m to HMRC between October 2020 and February 2022. 

Lunt had failed to notify HMRC of the scheme, which had around 250 users, as he was required to by law. He was banned as a company director for 10 years. He now lives in Southern California.

Claire Entwistle, assistant director of operations at the Insolvency Service, said: “Tax avoidance schemes are marketed as ways for people to pay less tax but do not always work as advertised, landing customers instead with a big tax bill.

“Our public services also rely on everyone paying their taxes, and schemes such as this deprive the UK of the revenue it needs to invest in our hospitals, schools and roads.”

Lunt was required to notify HMRC of the scheme. He failed to do so. 

Peak PAYE operated its tax avoidance scheme by paying contractors the National Minimum Wage, and then paying the remainder of their wages disguised as a financial option or as a salary advance.

The company, which had a registered office in Manchester, promised users they could avoid paying National Insurance and income tax as a result.

The company was ordered by HMRC to stop running the scheme in November 2022 and entered liquidation the following month. 

Lunt moved to his current address in Costa Mesa, Orange County in California after his involvement with Peak PAYE.

The Secretary of State for Business and Trade accepted a disqualification undertaking from Lunt, and his ban started on 30 September 2024. His ban ends in September 2034. It prevents him from being involved in the promotion, formation or management of a company, without the permission of the court.

• Comment below on this story. Or let us know what you think by emailing us at [email protected] or tweet us to tell us your thoughts or share this story with a friend.