BBA calls for Budget to address tax issues
Next week’s Budget announcement must focus on rebuilding international confidence in the UK as a business destination, according to the British Bankers’ Association (BBA).
Looking ahead to Chancellor Darling’s Budget announcement on Wednesday 12 March, the BBA’s chief executive, Angela Knight, has warned proposed tax changes are causing international business to reconsider moving to the UK. In light of fierce competition from other centres, she called on Alistair Darling to do more to attract businesses to Britain. The country’s reputation of having a favourable tax regime for financial services is now being questioned, she added, and could damage the economy if left unaddressed.
Knight said: “Banking is already the largest single taxpayer and contributes more than £50bn to the economy. The industry is seriously concerned that the Government is trying to raise new taxes without adequate consultation and without proper consideration of the cumulative effects.
“Taxation is not simple, and changes cause unintended consequences. Closer collaboration with the industry is essential to avoid giving our partners and competitors abroad the impression that the UK is not as friendly to business as it was just a few years ago.”
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