UK Industry Urges Hunt to Cut Business Taxes to Spur Growth

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(Bloomberg) -- Britain’s leading business groups are calling on Jeremy Hunt to unlock investment with a mixture of tax cuts, improvements to the UK power...

-- Britain’s leading business groups are calling on Jeremy Hunt to unlock investment with a mixture of tax cuts, improvements to the UK power grid and policies to address skills shortages when he unveils a package of economic measures later this month.Hunt has downplayed expectations of any big giveaways ahead of his Autumn Statement on Nov. 22, saying his priority is — as it has been all year — to bear down on inflation that remains well above the government’s 2% target.

Hunt’s fiscal headroom at his last budget in March was £6.5 billion , the lowest level ever. Since then, high inflation and wage growth have boosted tax revenue, lifting the margin to around £13 billion, the Resolution Foundation said in a report published Monday. The so-called “big five” of Britain’s business groups — the Confederation of British Industry, British Chambers of Commerce, MakeUK, Institute of Directors and Federation of Small Businesses all are pushing for the latter. Here are corporate Britain’s key asks:Industry’s top request is for Hunt to make permanent the so-called “full expensing” policy he introduced in March, which gave firms 100% tax relief on capital spending such as on new machinery until March 2026.

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UK Industry Calls on Hunt to Cut Business Taxes to Spur GrowthBritain’s leading business groups are calling on Jeremy Hunt to unlock investment with a mixture of tax cuts, improvements to the UK power grid and policies to address skills shortages when he unveils a package of economic measures later this month.
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