Manufacturing body pleas for tax breaks
The Engineering Employers' Federation is petitioning the government to grant UK manufacturers tax breaks in the April Budget ahead of worrying new investment figures.
Link: Manufacturing jobs to go if taxes rise
The EEF made the plea following a 15% drop in investment in the sector in 2002. It also claims that growth in 2003 will not come close to the 3% predicted by the government.
In its submission paper, the EEF calls for 100% capital allowances for small manufacturing firms, wider discounts on the controversial climate change levy for ‘clean’ companies and a resolution of employers’ liability insurance.
EEF director Martin Temple said: ‘While Britain’s manufacturers are pulling out all the stops to be ready for economic upturn, increasing costs of tax and regulation and growing uncertainty are constraining vital investment decisions.
‘In these circumstances, the chancellor must not add to manufacturers’ costs. He must also take the opportunity to introduce measures to build confidence and support investment decisions vital to our future growth.’
