The world's second largest advertising agency, WPP, is due to announce plans to move its headquarters to Ireland in order to avoid increased tax costs. According to the Financial Times, WPP is said to be considering the move due to a threat of a higher corporation tax bill. The company's annual corporation tax bill was £204.3m in 2007, but could be increased by millions due to changes in Treasury tax. Many multinational companies based in the UK believe too much of their foreign profit gets taxed under rules of tax avoidance. In recent months other British based companies have decided to shift their headquarters offshore, such as Kingfisher, Shire and United Business Media. Ireland proves an attractive base for tax domiciles because it doesn't have similar rules. An announcement is expected within a week.