Sunak’s corporation tax hike would see the UK’s international tax competitiveness slip from 11th to 30th out of 37 OECD nations, a report from the Centre for Policy Studies (CPS) warns. The report argues that the UK’s outdated business rates system, its planned corporation tax hike from 19% to 25% and the recent national insurance rise would derail Britain’s economic growth. Once all the planned tax rises come in, the UK will fall to thirtieth place on the International Tax Competitiveness Index, well behind competitors such as the United States, Germany, Canada, and Japan…
Tom Clougherty, head of tax at the CPS, explained:
“There is nothing wrong with getting the budget balanced, but are we going to do more harm than good with more tax increases?
Right on the money…
A spokesman for the Treasury said:
“This Government has consistently backed business. The UK has a highly competitive business tax regime and remains one of the best places in the world to do business – we have a lower headline rate of corporation tax than any other major comparable economy and generous reliefs for both research and development.”
Is that really true Rishi? Hiking taxes is clearly harming UK competitiveness…
