Menu
13/03/2006
CBI warns Brown of UK tax burden
The CBI has hit out at what it has labelled "stealth taxes" disguised as a 'tax avoidance' crackdown on businesses.
The CBI warned today that the UK is losing its competitiveness as it slips down the international tax table, and that rising Government levies are stifling business investment.
The employers' body hit out at 'stealth taxes' being introduced under the cloak of tax revenue protection or 'anti-avoidance' measures.
In its representations to the Chancellor ahead of the Budget, the CBI warned that at a time of intense cost pressures and fierce international competition, the Government is adding to business costs when it should instead be reducing the burden.
The CBI has called for an easing back of the rate of growth in public spending and for a modest reduction in business taxation, pointing out that business has been funding a disproportionate share of rising Government spending - with the cumulative effect of post-1997 business tax rises expected to hit £80 billion by 2010.
Analysis by the CBI showed that Government consumption as a percentage of GDP rose from 18% in 1998 to almost 22% in 2005. This increase of a fifth is mirrored by an almost exact percentage fall in business investment as a share of GDP over the same period.
CBI Deputy Director-General John Cridland said: "With a staggering £80 billion in extra tax expected to have been levied on companies and their investors by 2010, plus spiralling energy and pension costs, it is hardly surprising that business investment has hit a record low.
"The problem for Government is that lower investment by firms spells lower growth and prosperity, and eats into the very wealth which public services depend on for funding over the long term."
The CBI claimed that the overall tax burden in the UK has risen from 34.7% in 1996, to 36.1% in 2004, and is expected to grow further to 38.5% by 2008.
(SP/GB)
The CBI warned today that the UK is losing its competitiveness as it slips down the international tax table, and that rising Government levies are stifling business investment.
The employers' body hit out at 'stealth taxes' being introduced under the cloak of tax revenue protection or 'anti-avoidance' measures.
In its representations to the Chancellor ahead of the Budget, the CBI warned that at a time of intense cost pressures and fierce international competition, the Government is adding to business costs when it should instead be reducing the burden.
The CBI has called for an easing back of the rate of growth in public spending and for a modest reduction in business taxation, pointing out that business has been funding a disproportionate share of rising Government spending - with the cumulative effect of post-1997 business tax rises expected to hit £80 billion by 2010.
Analysis by the CBI showed that Government consumption as a percentage of GDP rose from 18% in 1998 to almost 22% in 2005. This increase of a fifth is mirrored by an almost exact percentage fall in business investment as a share of GDP over the same period.
CBI Deputy Director-General John Cridland said: "With a staggering £80 billion in extra tax expected to have been levied on companies and their investors by 2010, plus spiralling energy and pension costs, it is hardly surprising that business investment has hit a record low.
"The problem for Government is that lower investment by firms spells lower growth and prosperity, and eats into the very wealth which public services depend on for funding over the long term."
The CBI claimed that the overall tax burden in the UK has risen from 34.7% in 1996, to 36.1% in 2004, and is expected to grow further to 38.5% by 2008.
(SP/GB)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
26 October 2021
Baker Tilly Moore Announces Two Key Appointments
Leading accountancy and advisory firm Baker Tilly Mooney Moore has made two appointments to the Taxation Department amid a period of sustained growth and development. Eugene Moore joins the firm as Tax Manager, while Naomh McGrann has taken on the role of Tax Technician.
Baker Tilly Moore Announces Two Key Appointments
Leading accountancy and advisory firm Baker Tilly Mooney Moore has made two appointments to the Taxation Department amid a period of sustained growth and development. Eugene Moore joins the firm as Tax Manager, while Naomh McGrann has taken on the role of Tax Technician.
22 March 2013
Budget R&D Tax Incentives Welcomed
Invest Northern Ireland has welcomed the R&D measures announced by the Chancellor George Osborne as part of the Budget statement. Improvements to the R&D tax credit system and the new Patent Box regime are part of wider government measures to encourage investment in R&D and help innovative businesses to grow.
Budget R&D Tax Incentives Welcomed
Invest Northern Ireland has welcomed the R&D measures announced by the Chancellor George Osborne as part of the Budget statement. Improvements to the R&D tax credit system and the new Patent Box regime are part of wider government measures to encourage investment in R&D and help innovative businesses to grow.
04 May 2011
Dáil Probes EU Plans For Common Tax System
An interim Dáil Committee will meet with officials from the Department of Finance today, to consider whether a new EU proposal for a consolidated system of calculating the tax base of businesses operating in the EU complies with the principle of subsidiarity. The meeting will take place at 2.30pm in Leinster House.
Dáil Probes EU Plans For Common Tax System
An interim Dáil Committee will meet with officials from the Department of Finance today, to consider whether a new EU proposal for a consolidated system of calculating the tax base of businesses operating in the EU complies with the principle of subsidiarity. The meeting will take place at 2.30pm in Leinster House.
01 March 2006
Employers reminded to stop paying Working Tax Credit
HM Revenue & Customs (HMRC) have reminded employers that they must stop paying Working Tax Credit via their payroll by the end of this month. Since its introduction in April 2003, Working Tax Credit has been paid via employers to supplement the wages of people on low incomes.
Employers reminded to stop paying Working Tax Credit
HM Revenue & Customs (HMRC) have reminded employers that they must stop paying Working Tax Credit via their payroll by the end of this month. Since its introduction in April 2003, Working Tax Credit has been paid via employers to supplement the wages of people on low incomes.
04 June 2004
Businesses welcome R&D Tax Credit guideline clarification
Business has welcomed clarified guidelines on research and development (R&D) tax credits, but there is still room for improvement if confidence in the process is to remain, says PricewaterhouseCoopers (PwC).
Businesses welcome R&D Tax Credit guideline clarification
Business has welcomed clarified guidelines on research and development (R&D) tax credits, but there is still room for improvement if confidence in the process is to remain, says PricewaterhouseCoopers (PwC).
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
