Prime Minister Liz Truss said her government would pursue a “shamelessly pro-business” agenda to reduce and simplify taxes in the UK.
“We want less and simpler taxes in this United Kingdom To encourage investment and get more businesses off the ground,” Truss told a gathering of top business figures on Wednesday, according to a readout from his office in New York.
Truss said Chancellor of the Exchequer Quasi Quarteng will announce a series of measures this weekend designed to meet tax-cutting promises made during the Conservative Party’s leadership contest.
He said his government would execute on promises to reverse this year’s 1.25 percent increase in the National Insurance, payroll tax, and increase next year’s planned corporate tax from 19% to 25%.
The remarks are the clearest recitation ever of Truss, which his government is setting after just two weeks on the job, one of them interrupted by the death of Queen Elizabeth II.
On Wednesday, the government unveiled a package of up to $40 billion to help all businesses with skyrocketing winter energy bills. And on Thursday ministers intend to publish a plan to reform the country’s health system.
Overall, economists expect that by the end of Week The new government has invested $200 billion or more in new spending commitments and tax cuts, forcing the government to borrow more at a time when interest rates are rising rapidly. This is putting the public finances in an unstable position.
Parliament will sit for another day on Friday to hear from the Quarteng before going into recess for the party’s annual convention session.
“We will not raise corporate income tax as planned,” Truss said. “We will reverse the national insurance increase we saw earlier this year. And the chancellor will announce a number of other simplification measures.”
The Times reported on Wednesday that Quarteng’s program will include a reduction in stamp duty on home purchases. Government officials refused to refute the report, with Foreign Secretary Gillian Keegan telling Times Radio: “We’ll have to wait and see what the chancellor says. But that’s the kind of policies that have been Used In the past they are really there to move the economy. ,
It’s a move the Conservatives have used in recent days: Former foreign minister Rishi Sunak temporarily froze stamp duty during the coronavirus pandemic to stimulate the property market.
BlackRock Inc. attendees at the Round Table Conference in New York. CEO Larry Fink, Bain Capital Managing Partner John Connaughton and General Electric Company CEO Larry Culp.
Truss said Quarteng “will introduce a series of supply-side reforms to make our economy more productive in the long run in areas such as financial services.”
He promised to tackle the Solvency II and MiFID regulations governing insurance and trade, a legacy of EU membership, and also building roads, broadband infrastructure and cell towers.
“While this is just the beginning, our long-term plan is to simplify UK taxation and become a better place to invest and be pro-business,” he said.