CGT reforms "trample on the spirit of enterprise"

News Article - 26 November 2007
Category:

An "overwhelming" 93 per cent of businesses think the government must make more plans to encourage UK enterprise, reveals a new study.

The Confederation of British Industry (CBI) also found that the planned reforms to capital gains tax (CGT) have meant 42 per cent of equity holders will take fewer risks in business and 36 per cent have cancelled any future plans to invest more money in existing operations.

"The chancellor needs to recognise the consequences of these ill-conceived proposals and must find alternatives to the capital gains tax changes as a matter of urgency," said John Cridland, deputy director-general for the CBI.

He explained that the economy would suffer if the government continued to "trample on the spirit of enterprise".

The UK was recently rated number 14 out of 32 on a scale of attractiveness of tax environment by the Mercer Worldwide Individual Tax Comparator Report.

Article keywords:

---

More industry news

• Think tank warns UK may have already slipped back into recession
• Growing demand for HR staff in technology and international sectors
• Boosting business growth a ‘priority’ to avoid Eurozone slowdown
• HMRC launches alternative disputes pilot scheme this week
• December employment statistics disregard gloomy recruitment predictions
• Eurozone manufacturing PMI shows modest improvement
• UK scores highly for economic governance by ratings agency
• Government launches two-year project focusing on manufacturing sector
• Burden of regulation on UK businesses ‘too high’

Back to news home page »