Wednesday 10 August 2016 11:01 pm

Government urged to implement new tax credit scheme for UK exporters for economy boost after Brexit vote

The government is being urged to implement a tax credit scheme for UK exporters to boost British business and the economy after the Brexit vote.

In an open letter, David Thomas, the executive chairman of the Council of British Chambers of Commerce in Europe (COBCOE), said: “This will cost the exchequer nothing on balance.

“It can recoup the ‘cost’ through VAT, employment and corporate taxes on increased activity from those providing the assistance as well as increased export flows.”

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Thomas also put COBCOE forward to “fill the vacuum in political and business leadership”, as an “organisation with working knowledge of multi jurisdictional, pan European business needs and sentiment”.

“British Chambers located in each country under the COBCOE umbrella have the ability to float issues with their business partners and host governments in preparation of any formal diplomatic dialogue,” he said.

“They should be used by the UK preparation and negotiating teams to test issues and positions as they are formulated in London before diplomatic engagement starts.

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“More than 50 per cent of the members of the constituent chambers of COBCOE are non-British companies.

“They are natural allies in shaping what must be the structure of post-Brexit market access across Europe, and have significant sway with their host governments to counter any dogmatic political positions in Brussels.”

Thomas said that, after having tested its members’ opinion on the matter, “we propose immediate action to stimulate trade and help reverse the recent £2bn and £1.7bn decline in exports and imports respectively, outlined in the ONS figures for May 2016”.