US companies snubbing Britain over high tax burden and lack of economic ambition, KPMG says
US companies are snubbing Britain because of the high tax burden and a lack of economic ambition, according to KPMG.
In a revelation that will pressure Jeremy Hunt to drop a planned corporation tax hike, policy chief Tim Sarson said there was “a general feeling that the UK is not is not quite what it was”.
Not competitive: US companies snub Britain over high tax burden and lack of economic ambition
He said US giants were making ‘loud noises about the UK regime’s lack of competitiveness’ as dozens decided against investing in the UK last year.
Sarson told the Telegraph: “We’re not quite considered a hopeless case, but people will often joke on conference calls, ‘What the fuck are you guys doing?’
He said the “signal” sent by the rise in corporation tax – which is expected to rise from 19% to 25% next month – was discouraging investors.
The Chancellor has come under pressure from Tory MPs and industry leaders to reverse the increase, which they say will scare away investment and stifle economic growth.