Richard believes that a special, lower personal tax code for those working for start-ups and smaller SMEs will help these enterprises establish themselves, particularly in the areas of the country, such as the North East, that require economic stimulation.
Richard Upshall said: “With interest rates virtually as low as they can be, what is really required is support from Government for low interest, long-term loans to small businesses to help manage cash flow and keep investment coming in. Coupled with a drop in Corporation Tax and some other taxation changes, this would further encourage growth.
“However, Margot James could help make the BEIS Department go even further. Scrapping Corporation Tax completely in favour of licensing fee would massively encourage small business owners and employees to strive for higher profits, which would lead to greater contribution to the economy, knowing they get to keep, and of course spend, save or invest, the gains.
“A licence to do business avoids capital going overseas in to tax schemes and indeed encourages companies to consider the UK as a ‘haven’ for enterprise in the modern world.
“To encourage things further she should consider a new personal income tax code for those brave enough to join start-ups or the smaller SMEs, which be a risk, but suddenly creates more options and opportunities. Just imagine raising the tax threshold, or freezing personal income tax for a year or two while start-ups get going.
“Excitement, innovation and attraction of talent could come in from all over the world. It seems like a great option as opposed to having to pay out benefits and could be especially lucrative for the longer term greater good in areas needing economic stimulation.”