Conservatives want corporation tax cut to boost economy
Sunday, 09 Mar 2008 16:41
George Osborne wants a 3p corporation tax cut
Chancellor Alistair Darling should cut corporation tax by 3p in next week's Budget, the Conservatives say.
A revenue-neutral headline cut from 28p to 25p, funded by the government scrapping its complicated credit scheme, has been proposed by shadow chancellor George Osborne.
He claims such a move would help British competitiveness, lowering its place in European league tables of business tax from fourth to 12th.
"This will create a much simpler business tax system and a much lower tax rate," Mr Osborne said.
"It will send a clear signal that Britain is open for business and it will be a real shot in the arm for British companies as they meet the challenge of competing in a global economy."
Prime minister Gordon Brown introduced a revenue-neutral corporation tax cut from 30p to 28p in his last Budget as chancellor last year.
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