The CBI today urged Chancellor George Osborne to use next month’s Budget to give the UK economy and jobs a real boost with changes to the UK tax system which it believes could help persuade businesses to invest in the UK and further stimulate growth.
In its Budget submission, the CBI also called for the Government to deliver on its proposals in the Autumn Statement to attract more investment into UK infrastructure, boost investment for mid-sized businesses and get more credit flowing to companies across the economy.
The CBI’s tax proposals also include: a new capital allowance to attract investment into types of infrastructure which do not currently qualify, new forms of finance to help companies grow and take on staff, and ways to ensure environmental taxes help to encourage new growth.
CBI Director-General John Cridland said: “The Chancellor must use this Budget to score the growth and investment policy goals he put forward in his Autumn Statement.
“Delivering private sector investment in infrastructure, supporting mid-sized businesses, hammering out the details on credit easing, extending the Youth Contract to 16 and 17 year olds, and introducing the New Build Indemnity Scheme for mortgages at the earliest opportunity will all provide a real boost for UK growth and jobs.
“With our economy firmly under the international spotlight, there is no time to lose: Plan A plus must become a reality.
“We also want to maximise the incentive for businesses to invest in Britain. So we’re calling on the Government to make some targeted changes to the UK tax system, which could make an impact on business decisions and create new opportunities for growth.
“While the state of the public finances is tight, the Chancellor still has an opportunity in this Budget to make sure the UK tax system is as internationally competitive as it can be.”
Mr Osborne presents his Budget on March 21.
