18 November, 2023
Daily Express, by Sam Richards
We all feel the consequences of high inflation, high interest rates and high energy bills in our pockets; we see it on the high street every day.
That’s why in the upcoming Autumn Statement, the Chancellor needs to be laser focused on those areas that will give the economy the maximum possible adrenaline boost; on where we can get the biggest bang for our buck.
Fortunately, one of the best ways to do this would be for the Chancellor to do something he’s already said he wants to do.
Delivering the Spring Budget in March he announced a new policy of “full expensing.”
This allows businesses to deduct the cost of any investments they make straight away from their corporation tax bill, rather than over a number of years.
At a stroke Jeremy Hunt delivered a huge £10bn tax cut to businesses, making life easier for firms who invest in new job creating plants and machinery.
It means firms can get the same level of relief on buying a huge piece of kit as they do from buying a box of biros.
This allowed Britain to steal a march on our European competitors by making us the only major European country with such a generous policy.
But the measure announced in March is only temporary for the next three years - ending in 2026. Even with talk that the Autumn Statement will extend this until 2029, this still does not go far enough and will not give businesses the certainty or confidence they need to invest for the long-term.