Chancellor of the Exchequer, Jeremy Hunt, today announced the government’s plan to “get Britain growing.”
The current tax break for businesses, which was due to expire in 2026 has now been permanently extended, allowing firms to deduct spending on investment from profits, thus paying lower amounts of corporation tax.
A further 110 growth measures were announced, many of which are designed to increase foreign investment into UK business.
Claire Trachet, CEO and founder of business advisory, Trachet, highlights the implications following the chancellor’s Autumn Statement for businesses and how this will affect startups, the tech sector and investors alike.
She said, “Today’s Autumn Statement provided welcome news for what has been a turbulent economic period for the UK’s investment ecosystem.
“The government are doubling down on their backing for business growth in the UK, with the extension of the tax break as well as introducing measures to boost foreign investment, relief is on the horizon for companies that have been facing major economic challenges.
“The chancellor’s announcement comes hot on the heels of the lowest levels of inflation since June of last year and a second consecutive interest rate hold, showing strong signs of the UK economy rebounding, which can only spell positive news for businesses across the country.
“The government’s continued commitment to strengthening the country’s position in artificial intelligence through through a further £500m in funding for UK AI will enable tech firms to bring cutting-edge products to market faster and ensure that Britain doesn’t lose its spot as a leader in Europe for this sector.
“Following on from the success of supercomputing centres in Edinburgh and Bristol, the government are doubling down on their ambition to make the UK an AI powerhouse”.