Economists โคCall for Tax Cuts & Planning Reform to Spur UK Growth Ahead of Budget
London,UK – โEconomists are urging theโ government to prioritise planning โขreform and targeted โฃtax cuts to stimulate economic growth,as Rachel Reeves prepares forโ this year’s Budget following a damning report โฃfrom the office for Budget Responsibility (OBR). While acknowledging the need to boostโ tax receipts, the consensus leans towards reducing levies onโฃ areas crucial for investment andโ activity, rather than broad-based increases.
The โคrecommendations, stemming from aโ recent survey of economists, โขsuggest cuts to โstamp Duty, national Insurance, and Corporation Tax, alongside Business Rates and Capital โฃGains Tax. This approach contrasts with calls โfor increased revenue โขfrom Excise Duties, Fuel Duties, and Value Added Tax (VAT), which economists โฃidentified as options to “minimise the economic costs of taxation” should revenue increases be necessary.
The survey highlighted energy costs as a important, underrated weakness for theโฃ UK economy, with three-quarters of respondents supporting further North Sea exploration. However, the think tank acknowledged “littleโค the government can do” to address high energy prices in the short term. โค
beyond taxation, economists pointed to tax reformโ and potentially scrapping the triple lock pension as โคavenues to address precarious public finances. expanding the Global Talent visaโฃ scheme was also identified as a potential economic win for โLabour, though the OBR is unlikely to recognize suchโข changes asโ a significant โขgrowth policy.