More than 30 officers from HMRC searched four residential and one business address during morning raids in the north west and Midlands. Computers, business and personal records were seized during the operation.

The arrests were made as a result of a HMRC investigation into a complex scheme involving offshore trusts used by professional financial advisers to facilitate UK individuals to avoid around £132m in income tax.

Paul Maybury, assistant director, fraud investigation service, HMRC, said: ‘These arrests show that we are determined to tackle not only those suspected of tax fraud, but also the professionals who we believe abuse their position of trust to help them do it.

The three men, aged in their late fifties and sixties, have been interviewed and released on bail pending further enquiries.