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Snap Technology

Snapchat expands UK operations saying it's 'where our advertising clients are'


By Rebecca Stewart, Trends Editor

January 10, 2017 | 2 min read

Snapchat's recently formed parent company, Snap Inc, is to expand its operations in the UK.

Snapchat chooses UK as base for international headquarters

Snapchat expands UK operations saying it's 'where our advertising clients are'

The move from the startup goes against the grain of other US tech giants like Twitter and Facebook who have set up shop in lower-tax EU countries.

The company has created a UK entity, Snap Group Limited, and has confirmed that it will book all revenues made outwith the US in Britain, and will not route them through other European countries like Ireland or the Netherlands for tax reasons. The Snapchat teams in France, Australia, Canada and Saudi Arabia will be booked through the UK.

"We believe in the UK creative industries," Claire Valoti, general manager of Snap Group Limited in the UK, said in a statement. "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."

Snapchat first opened its doors in the UK in 2015 and has increased its staff there by six-fold since then with 75 employees currently operating in the country. Recent hires including Mindshare's mobile chief James Chandler and Manning Gottlieb OMD's Glynn Jones, as well as a small growing engineering team led by ex-Amazon executive Ricky Leatham.

At the end of last year Snapchat quietly filed for what could be the largest initial public offering (IPO) in years, with industry observers forecasting that its eventual valuation could be as high $30bn.

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