The CBI has warned the Chancellor that the job of rebuilding the economy is only half done and it calls for a reformation in the business rates in the autumn statement. CBI informed that the Chancellor must cap the inflation linked increase in the business rate at 2pc.
Overhaul of complex business rate system
The Chancellor is expected to use the autumn statement to commit to fix the complex business rate system which is acting as a barrier to the investments. The tax on commercial properties is the Treasury’s biggest income source, generating more than 25 billion Euros, per year. The tax will increase with the inflation, every year. The business rates are sure to increase by another 3.2pc in April 2014.
CBI requests the Government
CBI requests to take action on the housing and energy to help the households that are not able to cope up, with the rising cost. It calls for a reform, to support the energy investments. The CBI wants the planning system to be controlled that the builders can receive a planning permission for residential property quickly and cheaply. It also insists that the business investments are important to grow the economy and deficit reduction should go hand in hand with the business investments, to create jobs and raise the standard of living.
Source: http://www.telegraph.co.uk/finance/newsbysector/retailandconsumer/10453531/CBI-calls-for-George-Osborne-to-reform-business-rates.html