Almost 80 per cent of directors support the end of the government's plans for a fiscal surplus by 2020

Mark Sands
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Last year IoD members overwhelmingly backed plans for a surplus by 2020

A survey of more than 1,000 members of the Institute of Directors has shown a dramatic swing towards support for further government spending.

78 per cent of IoD members said they backed the axing of the government's manifesto pledge of a fiscal surplus by 2020.

It's a huge reversal of a similar poll in May last year, which saw 80 per cent back the plan to eliminate the deficit by the end of this parliament.

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The survey also shows growing support for a round of tax cuts for businesses, with roughly two-thirds backing former chancellor George Osborne's suggestion of a 15 per cent rate of corporation tax, first revealed after June's Brexit vote.

What's more, 50 per cent said they would support an increased investment allowance of £500,000 for machinery, which was cut by Osborne to £200,000 in January, and one in four said this should rise as far as £1m.

IoD director general Simon Walker called for a “bumper feel-good Autumn Statement”.

“Increasing tax breaks for investment and cutting corporation tax would be a very good start, as would delaying the poorly designed Apprenticeship Levy,” he said.