Hundreds of celebrities, bankers and business people are claiming that they face bankruptcy after HMRC demanded they repay up to 20 times the amount invested in a notorious film avoidance scheme, The Times newspaper reported.

It is estimated investors poured £2.2 billion into movie investment schemes, such as the Eclipse venture.

HMRC told tax advisers last week that it would issue payment demands far in excess of the sums invested.   

Nick Wood, an adviser representing investors in the Eslipe scheme, was quoted as saying: “My expectation is that out of the 780 people ...