PwC: Budget was good for businesses

Julian Harris
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CHANCELLOR George Osborne received a boost today, when a poll revealed that three quarters (74 per cent) of businesses believe that the Budget made the UK a more attractive place to do business.

Osborne pledged several increments of cuts in corporation tax as well as reforms to Controlled Foreign Company rules, in last month’s Budget.

Among multinational companies, 83 per cent believe last month’s Budget was “good for business,” PricewaterhouseCoopers (PwC) revealed today.

Last year, just over half (56 per cent) thought the previous Budget has been good for business.
“The 2011 Budget contained a wide range of measures aimed at making the UK tax system more competitive globally,” said PwC’s Justin O’Hagan.

“Businesses will welcome these measures,” O’Hagan said, citing tax simplification measures and the new patent box tax relief.

However, over half (56 per cent) doubt whether the full corporation tax reform will be in place by the summer of 2012.

And there remains widespread scepticism over whether the chancellor can successfully reduce the UK’s annual government deficit.

Only 28 per cent of respondents think the austerity plans are realistic and achievable, compared with 60 per cent in the last year’s poll.