Tony Beare considers the impact on the City. Plus, below, in-house Budget views from Jennie Rimmer and Paul Morton.
In stark contrast to the Budgets of recent years last week’s Budget contained quite a few new developments.
Corporation tax rate
Perhaps the most significant change in terms of headlines was the further reduction in the rate of corporation tax to 21% from 1 April 2014 and to 20% from 1 April 2015. This change follows similar reductions in previous years and emphasises the chancellor’s determination to make the UK an attractive jurisdiction for businesses. Whilst it is possible to discourage multinationals from shifting their profits to other jurisdictions by engaging in protracted transfer pricing disputes another way to crack that particular nut is to entice the...
