Ahead of the 2011 budget, Charlie Elphicke, MP for Dover and Deal, sets out 10 policies which can stimulate the economy in 10 Points for Growth.
Measures to support larger businesses:
- Reducing the main rate of corporation tax to 19%;
- Reforms to make the UK the corporate headquarters centre of Europe (including a tax rule to say that foreign profits or interest payments brought into the UK by a subsidiary business will not be taxed in the UK, nor will they be deemed to be brought into the UK and taxed if held overseas);
- Abolition of stamp duty on share transactions.
Measures to support for smaller businesses:
- Reform of UKTI to enable SMEs to expand overseas more aggressively;
- Floating the smaller business growth fund on the London Stock Exchange;
- Lower capital gains tax rate for business assets or expansion of Entrepreneur’s Relief;
- Expanding specific reliefs for entrepreneurs and small business investors.
Regulatory reforms:
- Extension of the New Enterprise Allowance;
- The creation of Transition Enterprise Zones;
- Less stringent Employment Law, including capping maximum compensation claims at the level of average earnings.
These measures would help to create a pro-business framework, provide an economic stimulus for the private sector and recognise the importance of both big and small enterprises.
Charlie Elphicke says: “If Britain grows faster, there will be more jobs and money for all. We need a Government that is unashamedly, pro business, pro jobs and pro money. More inward investment, more help for small business and breaking down the barriers to growth will help put Britain back into the fast lane.”
The full report (12 pages) can be downloaded from here.
Date Added: Monday 14th March 2011
