Reduced tax rates, scrapping red tape and clearer food labelling are just some of the measures the Coalition government has set out to help businesses in the next two years.
A 52-page document called The Coalition: together in the national interest has been published, signed by prime minister David Cameron and deputy prime minister Nick Clegg, as the Coalition government reaches its Mid-Term Review. It outlines 180 policy measures the government claims will take place before the next general election in 2015.
As part of it, businesses would benefit from a reduction in corporation tax from 28% to 24%, with legislation helping to reduce the rate to 21% in 2014, as well as the creation of a Business Bank to help support small- to medium-sized (SME) firms and deploy an additional £1bn worth of capital.
Within the food sector, the government has demanded action across the EU for manufacturers to introduce clearer and more honest food labelling, enabling shoppers to make informed decisions at the tills. In addition, the publication of an anaerobic digestion strategy aims to help promote the turning of waste into energy, reducing the level of waste going to landfill.
The Small Companies Tax rate will drop to 20% in addition to a further extension of the Small Business Tax Relief as of this April, which the government has said will give targeted support and cash flow benefits.
Other measures to be fulfilled include temporary relief from empty property rates as well as the completion of the Red Tape Challenge, which will see the removal or improvement of 3,000 regulations during the time the Coalition government is in power.
Energy-efficient businesses could see additional savings as part of the launch of a £125m cash-back scheme called Green Deal this month, and in two years time, a mass roll-out of smart meters will commence with installation to be complete in 2019 to help deliver a national ‘smart grid’.
To read the document in full, visit: http://assets.cabinetoffice.gov.uk.s3-external-3.amazonaws.com/midtermreview/HMG_MidTermReview.pdf