London,
18
March
2015
|
15:02
Europe/Amsterdam

City of London Corporation response to Budget 2015

In response to the 2015 Budget published on 18 March- 

Lord Mayor Alan Yarrow said:

FINANCIAL SERVICES

“The City has an incredibly important role to play in driving economic growth across the whole of the UK. It can help create the jobs and sustainable economy that we all want to see.

“While the financial and professional services industry already contributes £65 billion in taxes each year, its impact is not simply limited to the capital: over two-thirds of the jobs in this sector are actually based outside London.”

TAX EVASION

“Measures to introduce a level playing field and tackle tax evasion are a step in the right direction.

“The UK’s reputation as a country with stable and competitive tax rates is vital to encouraging entrepreneurship and attracting foreign direct investment. Boosting confidence in the effectiveness and transparency of our tax system creates the right conditions for economic growth.”

TRANSPORT INFRASTRUCTURE

“Pressing ahead with transport infrastructure – both in London and the Northern powerhouses – is one of the ways that the UK can rebalance the economy. Having spoken to numerous business leaders in the North West region, they all told me just how important this is in both tapping into the vast talent pool of workers in the region and also creating a sustainable business environment.”

Policy Chairman Mark Boleat said:

DEVOLUTION

“More devolution to the regions can only benefit our economy as we lean on regional expertise to create growth. The aim of a Northern powerhouse is laudable – but we must not forget that London too deserves the opportunity to exercise flexibility and autonomy in its spending decisions to deal with the specific challenges it faces. As we have seen from our research, London’s net contribution to the UK was £34 billion in 2013/14 – 21% of the UK’s tax take. It’s time that London’s hardworking people had more say over how this is spent tackling London’s problems.”

BUSINESS RATES

“We welcome the review of business rates. However, it is important that tangible action is taken to reduce the burden of business rates. The City is home to some 13,500 SMEs and we know the value of a London location to a small business. This must not be put at risk by out-dated business rates rules.”

HOUSEBUILDING

“London’s housing market is reaching crisis point and is dangerously close to undermining our economic competitiveness. We must tackle the supply-side problems in our housing market – examining every option and reducing unhelpful planning constraints. This is the only way to ensure that the best international talent will choose to come to London.”