Firms using facilities management could be encouraged by new tax calls
June 18th 16:09 Cost Management
The British Chambers of Commerce (BCC) has called on the new coalition government not to punish UK firms with increases in business taxation.
According to the organisation, the bulk of measures introduced in next week's emergency Budget should come from public sector spending cuts.
Davis Frost, BCC director-general, said this course of action would be preferable to imposing "punishing tax hikes" on small businesses.
"The chancellor must tread carefully to avoid introducing damaging new taxes that negatively affect private-sector growth," he said.
"Short-term revenue gains would be outweighed by longer-term economic consequences, from reduced business investment to lower rates of job creation. Any tax rises must be focused on consumption taxes rather than payroll, income or profits."
Chancellor of the exchequer George Osborne is set to deliver the coalition's first emergency Budget at 12:30 on June 22nd, and is expected to detail further how the government intends to reduce the UK's deficit.
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