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Budget: Small businesses' anger at corporation tax

Kent and Medway regional chairman for the Federation of Small Businesses Roger House
Kent and Medway regional chairman for the Federation of Small Businesses Roger House

CHANCELLOR Alistair Darling has been accused of picking the pockets of Kent’s small businesses through tax increases.

Roger House, Kent and Medway regional chairman for the Federation of Small Businesses, slammed the rise of two per cent in corporation tax to 28 per cent, and said: "This is a totally non-innovative budget.

"We are sick of increases in tax. The Government is constantly finding ways to take money out of small businesses. These businesses need money for investment in staff and for development.

"The Government is taking from (us) all the time."

Mr House said his own business, Ebbsfleet-based business training firm Big Solutions was an example of this.

He said: "We need money to invest in software and ways to help us perform more effectively. We are constantly being pushed back. The money we need is going in corporation tax instead."

He was not impressed either by the chancellor's announcement that funds for loan guarantee schemes for small businesses were going up by £60m.

He said: "I don't think it is going to do anything for small businesses. The problem is that the banks make the final decision on the loans. It sounds really great, but it is not as straightforward as it sounds."

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