The UK’s tax system is holding small businesses back and preventing them from being competitive on the global stage, it has been claimed.
The British Chambers of Commerce (BCC) claims that the UK’s complex tax system is letting small businesses down, creating a heavy tax burden and stifling global success.
Although small businesses account for a significant proportion of foreign trade, they are still being stung by high tax levels, the BCC say.
The BCC is urging the Chancellor Gordon Brown for a revision of the UK’s corporate tax rate of 30%, to bring it in line with the EU average, which is approximately 25%.
The report also cites an ill equipped transport system, an education system that fails to prepare young people for work and excessive regulation as inhibiting the competitiveness of British business.
The Chancellor is being urged to adopt measures such as developing strategic freight terminals on the rail network and encouraging young people to study subjects such as economics.
David Frost, director general of the BCC, said: “We are calling on the Chancellor to address our four key areas of concern in order to ensure that Britain remains a competitive and attractive place to do business.”
© Crimson Business Ltd. 2006
