Big business backs UK despite Budget tax threat
Big business backs UK despite Budget tax threat
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Some of the world's biggest companies have voiced confidence in the UK economy ahead of the government's first international investment summit in London. More than a dozen business leaders have signed a letter in the Times, saying greater stability has increased the UK's attractiveness. At the conference, Prime Minister Sir Keir Starmer will promise to scrap regulation that "needlessly holds back investment". However, the government is facing a balancing act ahead of the Budget in two weeks' time having already signalled that some taxes will rise. On Sunday, Business Secretary Jonathan Reynolds did not rule out an increase in the rate of National Insurance paid by employers.
Labour pledged in its manifesto not to raise National Insurance. But Reynolds told Sky News: "That pledge, it was taxes on working people so it was specifically in the manifesto, a reference to employees and to income tax.? The letter to the Times, signed by major banks such as Goldman Sachs and JP Morgan and insurance companies including Aviva, said there was a "very real opportunity for the UK to grow its economy by attracting international investment". "We are optimistic about the future of the economy, and believe it is time to invest in Britain," the letter said. The run-up to the conference has been overshadowed by a row over comments made by a minister about P&O Ferries.
