Menu
01/12/2010
United Businesses 'Tax' Politicians Over Budget
As NI business leaders united to call for corporation tax to be reduced to make NI more competitive, there was little sign of such a united front on resolving NI's pressing need for an agreed overall economic budget.
While remaining the only UK region not to have agreed a post Spending Review agreement on financial affairs, there was little sign of a deal.
Despite the First Minister Peter Robinson saying that he believes the NI parties want to negotiate an agreed budget and there is serious engagement on the matter, the Sinn Fein Deputy First Minister Martin McGuinness has said his party "would not be rushed into making a decision that failed the community".
Mr Robinson was asked by the SDLP's Declan O'Loan if groups funded by the Stormont Executive might have to send out 90-day protective redundancy notices to staff should no deal be reached and he said this was a further reason why it was important to get a political deal on the budget before Christmas.
Mr O'Loan said a budget had to be agreed as a matter of urgency.
"The two main parties need to get down to business, start drawing up a budget and stop dithering," he said.
Earlier this month, DUP Finance Minister Sammy Wilson warned time was running out to reach agreement on a budget.
He said he wanted a decision by the end of November to allow proper scrutiny and consultation.
This lack of agreement was highlighted today when organisations including CBI Northern Ireland, the Institute of Directors
and the Northern Ireland Chamber of Commerce wrote a letter to MLAs and the Secretary of State, Owen Paterson, demanding a move on corporation tax.
It is currently 20% in the UK, compared to 12% in the Republic of Ireland.
Business leaders claim corporation tax is the "fastest and best way" to bring lasting well-paid jobs to Northern Ireland.
"We believe that a reduction in CT is the fastest way to rebalance and grow the NI economy and create jobs," the letter said.
"Without reform, the NI economy will continue to be untenable and over dependent on GB taxpayers."
The DUP First Minister Peter Robinson is in broad agreement with the business heads and has met Treasury Minister Mark Hoban and Owen Paterson about the Republic of Ireland's bailout and the possibility of cutting corporation tax in Northern Ireland as the lower level of corporation tax in the Republic is to remain despite its economic difficulties.
Mr Robinson said: "Therefore, if they (the Republic) are getting money but not changing their corporation tax, that means that there is a requirement on the Treasury to ensure that Northern Ireland does have power to reduce its level of corporation tax."
(BMcC/KMcA)
While remaining the only UK region not to have agreed a post Spending Review agreement on financial affairs, there was little sign of a deal.
Despite the First Minister Peter Robinson saying that he believes the NI parties want to negotiate an agreed budget and there is serious engagement on the matter, the Sinn Fein Deputy First Minister Martin McGuinness has said his party "would not be rushed into making a decision that failed the community".
Mr Robinson was asked by the SDLP's Declan O'Loan if groups funded by the Stormont Executive might have to send out 90-day protective redundancy notices to staff should no deal be reached and he said this was a further reason why it was important to get a political deal on the budget before Christmas.
Mr O'Loan said a budget had to be agreed as a matter of urgency.
"The two main parties need to get down to business, start drawing up a budget and stop dithering," he said.
Earlier this month, DUP Finance Minister Sammy Wilson warned time was running out to reach agreement on a budget.
He said he wanted a decision by the end of November to allow proper scrutiny and consultation.
This lack of agreement was highlighted today when organisations including CBI Northern Ireland, the Institute of Directors
and the Northern Ireland Chamber of Commerce wrote a letter to MLAs and the Secretary of State, Owen Paterson, demanding a move on corporation tax.
It is currently 20% in the UK, compared to 12% in the Republic of Ireland.
Business leaders claim corporation tax is the "fastest and best way" to bring lasting well-paid jobs to Northern Ireland.
"We believe that a reduction in CT is the fastest way to rebalance and grow the NI economy and create jobs," the letter said.
"Without reform, the NI economy will continue to be untenable and over dependent on GB taxpayers."
The DUP First Minister Peter Robinson is in broad agreement with the business heads and has met Treasury Minister Mark Hoban and Owen Paterson about the Republic of Ireland's bailout and the possibility of cutting corporation tax in Northern Ireland as the lower level of corporation tax in the Republic is to remain despite its economic difficulties.
Mr Robinson said: "Therefore, if they (the Republic) are getting money but not changing their corporation tax, that means that there is a requirement on the Treasury to ensure that Northern Ireland does have power to reduce its level of corporation tax."
(BMcC/KMcA)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
19 February 2004
Late payment culture shows no signs of abating
Large companies are the worst offenders when it comes to making late payments - more than five years after the government brought in legislation to tackle the problem - according to a survey conducted for business consultancy group Experian. For larger companies, the average payment period has increased from 72.1 days in 1998 to 78.
Late payment culture shows no signs of abating
Large companies are the worst offenders when it comes to making late payments - more than five years after the government brought in legislation to tackle the problem - according to a survey conducted for business consultancy group Experian. For larger companies, the average payment period has increased from 72.1 days in 1998 to 78.
21 July 2011
Corporate Tax Cost Up As Underspends Revised
Devolving corporation tax to Northern Ireland is likely to cost as much as £100m more than anticipated. According to new Treasury figures, if Stormont gains the power to lower local corporation tax, it must compensate the UK Government by a corresponding cut in the amount of money it receives each year for spending.
Corporate Tax Cost Up As Underspends Revised
Devolving corporation tax to Northern Ireland is likely to cost as much as £100m more than anticipated. According to new Treasury figures, if Stormont gains the power to lower local corporation tax, it must compensate the UK Government by a corresponding cut in the amount of money it receives each year for spending.
22 March 2013
Budget R&D Tax Incentives Welcomed
Invest Northern Ireland has welcomed the R&D measures announced by the Chancellor George Osborne as part of the Budget statement. Improvements to the R&D tax credit system and the new Patent Box regime are part of wider government measures to encourage investment in R&D and help innovative businesses to grow.
Budget R&D Tax Incentives Welcomed
Invest Northern Ireland has welcomed the R&D measures announced by the Chancellor George Osborne as part of the Budget statement. Improvements to the R&D tax credit system and the new Patent Box regime are part of wider government measures to encourage investment in R&D and help innovative businesses to grow.
25 June 2012
NI Planning On Skills For Lower Corporation Tax
Employment and Learning Minister Dr Stephen Farry launched a research report into the impact of a lower corporation tax in Northern Ireland on the demand for skills, labour and innovation capacity.
NI Planning On Skills For Lower Corporation Tax
Employment and Learning Minister Dr Stephen Farry launched a research report into the impact of a lower corporation tax in Northern Ireland on the demand for skills, labour and innovation capacity.
03 June 2011
Corporation Tax 'Con' Highlighted
The debate over a possible reduction in NI's rate of corporation tax to better match that of the Irish Republic is continuing with a NI House of Lords independent crossbencher saying the public is being "conned" by the pro-tax cut campaigners.
Corporation Tax 'Con' Highlighted
The debate over a possible reduction in NI's rate of corporation tax to better match that of the Irish Republic is continuing with a NI House of Lords independent crossbencher saying the public is being "conned" by the pro-tax cut campaigners.
-
Northern Ireland WeatherToday:Gale, coastal severe gale, northwest winds ease from late afternoon. Scattered showers will fall as snow over the hills at first, becoming isolated from mid-afternoon. Maximum temperature 7 °C.Tonight:Showers, scattered in the evening, will clear by midnight leaving the night dry with clear spells. Cloud will spread east towards morning. Minimum temperature 2 °C.
