The business department is finally attempting to hose down rumours that an Exit Tax is on the way in the Budget. Burnham advisers’ appetite for the tax first became known in June…
DBIST has told the FT:
“The department has been clear that exit levies are unequivocally ruled out… Keeping companies in the UK is key and it must be done by providing them with the environment and incentives they need.”
An Exit Tax was one of the more extreme proposals on the table as Burnham entered government. Its primary supporter is the Centre for the Analysis of Taxation led by Arun Advani, which cooked up some of Labour’s worst taxes including the ruinous Farm Tax…
Jonathan Reynolds should of course state his Exit Tax denial on camera and guarantee one will not be imposed for the duration of the Labour government. The hand will hover over the button when things get bad in future Budgets…
Businesses will still question what Labour’s word is worth. Remember when it promised not to make any changes to Agricultural Property Relief before imposing the Farm Tax?
Krishnan Guru-Murthy asked John Healey: “Just finally, I mean Andy Burnham has been very clear he wants Britain back in the European Union in his lifetime. Do you?”
The Chancellor replied: “I’m older than Andy Burnham. I don’t expect to see that.”