The Group of Seven, a group of the world's richest nations reached a landmark deal today to close cross-border tax loopholes used by some of the world's biggest companies.

The Group said it would back a minimum global corporation tax rate of at least 15 per cent and put in place measures to ensure taxes were paid in the countries where businesses operate.

The aim of the agreement is to stop multinational firms shifting profits to lower their tax bills, make them pay more in countries where they operate and adapt the system to cope with trade in intangibles like data and information.