CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. NI Corporation Tax Cut Delay Detering Investors

NI Corporation Tax Cut Delay Detering Investors

by Jason Gorringe, Tax-News.com, London

01 June 2015


Grow NI, a collective of businesses and business associations in Northern Ireland, has warned the Government of the damage being caused by delays in the implementation of the territory's new corporate tax powers.

Grow NI Chairperson Eamonn Donaghy said: "Continued uncertainty around a start date and an agreed rate of corporation tax means that the private sector cannot compete on a level playing field with businesses in the Republic of Ireland."

Donaghy's comments came after the Welfare Reform Bill failed to pass the Northern Ireland Assembly this week. The UK Government has made clear that devolved corporation tax powers will only commence if the Executive parties "put their finances on a long-term sustainable footing."

Donaghy said: "The power to create tens of thousands of jobs is now within our grasp, but unless politicians seize this opportunity it will jeopardize significant employment growth opportunities and will increase inequality in Northern Ireland."

He added: "Only by having the same rate of corporation tax across the island [of 12.5 percent] will we see any significant increase in employment in Northern Ireland. Such a change would see increased investment from companies at home and abroad, creating jobs which are much needed in communities everywhere."

The devolution of powers comes on the condition of a pro-rata reduction in the block grant, money which the UK Government provides to each of its regions to fund their day-to-day operations.

TAGS: tax | investment | business | Ireland | foreign direct investment (FDI) | corporation tax | United Kingdom | tax rates | tax reform | Welfare

To see today's news, click here.

 















Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »