Cancellation of corporate tax hike is ‘crucial’ for NI businesses

That’s the view of the Chief Executive of the Northern Ireland Chamber of Commerce and Industry, Ann McGregor, who gave her take on Chancellor Kwasi Kwarteng’s so-called ‘mini-budget’ announcement. Friday.

Mr Kwarteng said a planned increase in the tax had been scrapped and it would instead remain at 19%.

In response, the chief executive of the House of Northern Ireland said: “The measures to target certain business costs, including the cancellation of plans to increase corporation tax and insurance national level, are welcome interventions at a time of critical need.

“The cancellation of the planned corporation tax increase will be crucial for local businesses competing on the island of Ireland in particular.”

Regarding the Chancellor’s broader economic policy announcement, she said: “Businesses will welcome the Chancellor’s commitment to focus on economic growth

“Inevitably, the devil will be in the details of these proposals, but they must strike the right balance between tackling immediate pressures, driving reform and ensuring a sustainable future.

Retail NI chief executive Glyn Roberts meanwhile said: ‘We welcome the Government’s reversal of the National Insurance increase which will bring some relief to local independent retailers who are struggling with the cost of the trade crisis.

“Retail NI will discuss with the NI Secretary of State how the investment zone proposals could apply to Northern Ireland, particularly in town centers which have high levels of abandonment and need additional support.

“We are disappointed that no financial aid from the Treasury has been allocated to enable the local introduction of a professional tariffs holiday.

“If we are to have any chance of saving local businesses and protecting jobs, it is vital that a tariff suspension is put in place urgently.

“Lower VAT rates should also have been included in this statement, rather than focusing on stamp duty and corporation tax.”

Acting chief executive of the Londonderry Chamber of Commerce, Anna Doherty, said: “It is disappointing that this week’s announcements of energy aid schemes for businesses and households have not been taken advantage of.”