Under Labour the tax burden on small business will be lower than under the Tories. Our first Budget will cut business rates for 1.5 million small business properties and then freeze them the following year.
This is part of Labour’s Better Plan for Small Businesses, which includes action to tackle late payment, reducing unnecessary regulation and establishing a British Investment Bank to boost lending to small firms.
Labour will lower the tax burden on small businesses with a cut in business rates – worth an average of £400 – rather than going ahead with another cut in corporation tax for large firms.
This will benefit 17 small business properties for every one business helped by the Tory plan for a further cut in corporation tax. And we will look to go even further as we prioritise small businesses for future tax cuts.
Welcoming the pledge by Labour, Leader of the Labour and Co-operative Group on Brighton and Hove City Council, Councillor Warren Morgan, said:
Small and medium sized enterprises are the foundation of our city’s economy, whether an independent building contractor or a small tech start-up. Over 99 per cent of businesses in Brighton and Hove are small or medium-sized. Cutting and then freezing business rates for small businesses, and taking action on late payments, will give SMEs in Brighton and Hove a real boost and allow them to take on and train new staff. That will help us deliver our pledge to boost apprenticeships and eliminate youth unemployment locally.