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I have recently taken on a client that has been manually penalised for spammy link building by two previous SEOs. Having just read this excellent discussion, http://www.seomoz.org/blog/lifting-a-manual-penalty-given-by-google-personal-experience I am weighing up the odds of whether it's better to cut losses and recommend moving domains. I had thought under these circumstances it was important not to 301 the old domain to the new domain but the author (Lewis Sellers) comments on 3/4/13 that he is aware of forwards having been implemented without transferring the penalty to the new domain. http://www.seomoz.org/blog/lifting-a-manual-penalty-given-by-google-personal-experience#jtc216689 Is it safe to 301? What's the latest thinking?

A business traded on a domain let's say example.COM which was heavily penalised due to non-removable spammy back links. Their previous SEO advised them to set up on example.CO.UK but redirected example.COM to example.CO.UK. Example.CO.UK ranks very poorly, presumably due to being 'tarred with the same brush' i.e. attributed with the ills of example.COM. Will it do any good to remove the redirect or is example.CO.UK now doomed as well?