Brown Backing Businesses: But No Tax Reduction

While the Prime Minister, Gordon Brown is supporting Northern Ireland by attending this week's high profile investment conference, he has again made it clear to the Stormont Executive that he has no spare funding to come from the British Government to bolster political stability.

Specifically, he has consistently refused to consider a reduction in corporation tax - long seen as highly significant element in giving NI's business a much-needed boost.

However, while the Irish Republic's lower rate of corporation tax continues to give businesses south of the border an advantage, Gordon Brown is opposing any reduction, for NI, mainly because it would set a precedent for other regions - especially his own home area in Scotland.

Meanwhile, Irish leader, Brian Cowen is also to meet with Gordon Brown during the British PM's trip to Northern Ireland.

The new Taoiseach's first day will focus on a discussion with Mr Brown on the progress made in Northern Ireland, as well as an address to the high level US-NI business conference underway in Belfast.

The two leaders are expected to address the major investment conference which includes about 100 US executives.

The US delegation of business leaders arrived for the investment conference, where among other 'good news' announcements, a £70 million investment by Bombardier has already been revealed.

The cash will come from technologically advanced aircraft development projects to include more than £50m for the manufacture of components for the new CRJ1000 regional aircraft.

Invest NI has put up almost £10m of the costs towards the planned investment by the Canadian-owned Bombardier Aerospace.

The Irish Taoiseach will also meet with US Special Envoy Paula Dobriansky and New York City Mayor Michael Bloomberg.

Meanwhile, its VIPs galore as New York City Mayor Michael Bloomberg is also due to go on walkabout in Belfast city centre

New York City Council Speaker Christine Quinn, New York City Comptroller William Thompson and New York State Fiscal Officer Thomas DiNapoli will all attend Thursday's conference, which is the last day in the two-day conference.

Despite America's ongoing credit worries, New York has recently committed €150m for investment purposes in the North.

(DW)(BMcC)