23
September
2022
|
15:37
Europe/Amsterdam

City Corporation responds to Chancellor’s fiscal statement

In response to the UK Government’s fiscal event today, Policy Chairman at the City of London Corporation Chris Hayward said:

 

Bonus Cap

“It is vital that the UK is internationally attractive to remain a world leading financial centre.

 

“Removing the bankers’ bonus cap will reaffirm the UK's status as the world's financial services centre.

 

“Pay in the sector should reflect performance and take account of the wider economic environment. Scrapping the bonus cap will give banks the flexibility to recognise strong performance and show restraint when necessary. It demonstrates we are open for business.”

 

Corporation Tax

“The financial and professional services sector contributes £100 billion in taxes annually. Banks have been taxed at a higher rate than other parts of the UK economy since 2015 due to the corporation tax surcharge.

 

“Freezing the corporation tax rate at 19% sends a signal that we want to remain internationally competitive. It will help businesses unlock investment and I very much welcome it.

 

“The sector and the City are a key engine of growth for the UK economy and this measure will support us in continuing to create jobs and drive investment across the country.”

 

Infrastructure

“Accelerating major infrastructure projects across the UK is essential if the Government is going to meet its growth target. This investment should be spread across the country, including London.

 

“As the Prime Minister recognised just last month, the capital faces unique challenges and is home to some of the poorest parts of our country. London is the beating heart of the UK economy and its success benefits every corner of the United Kingdom.”

 

Investment Zones

“The introduction of new investment zones will help to catalyse private sector involvement in the levelling-up agenda. We look forward to working together with these areas as part of our partnership work with UK regions and nations. We hope this will include parts of London such as Barking and Dagenham where we are keen to support regeneration.”

 

VAT free shopping

“The introduction of VAT free shopping is a measure we have called for previously and will help to ensure the UK is attractive to overseas visitors. This will provide a much-needed boost for retail, hospitality and other sectors that rely on tourism footfall to support their income.”

 

Notes to editors

 

About the City of London Corporation

The City of London Corporation is the governing body of the Square Mile dedicated to a vibrant and thriving City, supporting a diverse and sustainable London within a globally-successful UK. www.cityoflondon.gov.uk

 

About Chris Hayward

Throughout his career Chris Hayward has worked in the construction, aviation, infrastructure and global events management sectors. He is currently a Director at leading communications agency JBP, a Consultant at professional services consulting firm WSP in the UK and also of Keltbray Limited, and Director of Hayward Properties Limited. He is a former Deputy Leader of Hertfordshire and Dorset County Councils. As Policy Chairman, he effectively operates as the political Leader of the City Corporation.