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Environmental investment hampered by tax system

by Rachael Singh

More from this author

23 Apr 2010

The UK's tax system does not support environmental industrial investment, claims Stephen Pugh, finance director of Adnams brewery.

Pugh wrote in a letter to the Financial Times: "Those who pay extra to construct buildings that use less energy will receive no allowances."

He added tax authorities told Adnams they would not receive a tax relief for buildings which needed no artificial cooling systems - even though they use less energy.

However, the traditional style buildings, which need cooling and heating equipment, were able to claim a tax relief.

Pugh is calling on the political parties to address the situation in order to encourage industrial investment.

Further reading:

Greater taxes on carbon needed, warns parliamentary committee

France and Italy call for international carbon tax

KPMG warns FDs that carbon law will hit bottom line

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