Budget response from South London Business
22nd June 2010
South London Business congratulates George Osborne on his first Budget as Chancellor. We welcome, in particular, the desire to deliver a balanced budget over the lifetime of this parliament achieved through developing an enterprise-led economy.
- We welcome the commitment to protect all capital expenditure projects, which will continue to pump billions of pounds into the economy.
- We fully support the staggered reduction in Corporation Tax which will help London maintain its position as Europe’s premier inward investment destination, and help secure current and future foreign direct investment into South London.
- We welcome the sensible compromise on Capital Gains Tax, and we support the increase in personal allowances for entrepreneurs to encourage innovation and new start-up businesses.
- We understand the need to increase VAT and commend the Chancellor for waiting until 2011 to help businesses, particularly those in the retail sector, benefit from a strong festive season.
- We commend the increase in the personal tax allowance and the re-linking of pensions to earnings, both of which will provide additional disposable income for local residents.
Peter Pledger, South London Business’ Chief Executive, commented:
“We congratulate the Chancellor on his first budget, and for his sensible and measured response to the budget deficit. Growth in enterprise is vital to the continued growth of our economy, and we are pleased that support for business is at the heart of this emergency budget. The Chancellor has made a pragmatic decision on VAT; offered a sensible response to raising capital gains tax and delivered strong support for business through a reduction in corporation Tax. We look forward to the autumn spending review, however, we urge caution when considering cuts to the education budget – where skills and workplace training for 16-18 years and funding for apprenticeships should be preserved â€
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