PracticeConsultingUS firm threatens to pull £250m investment

US firm threatens to pull £250m investment

An American software firm has threatened to cancel a planned £250m investment in the UK unless the government moves to change rules governing National Insurance Contributions on stock options.

Software company Veritas claimed its decision to invest extra money in new European headquarters near Reading and a facility Watford depended upon the controversial taxing of stock options, the Financial Times has reported.

Dot.com companies rely heavily on the use of stock options to attract and retain skilled staff. But the perk currently attracts a 12.2% National Insurance tax charge on any increase in value, which new economy companies claim could cripple technology firms.

The Treasury, however, is refusing to reopen the debate claiming it has already made significant changes to the treatment of share options.

Dot.coms share options fright

Cisco threatens loss of 400 jobs over national insurance levy

Related Articles

5 tips for SMEs to protect cash flow

Accounting Software 5 tips for SMEs to protect cash flow

5m Alia Shoaib, Reporter
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

11m Stephanie Wix, Writer
Managing partner Q&A - the year ahead: Richard Toone, CVR Global

Accounting Firms Managing partner Q&A - the year ahead: Richard Toone, CVR Global

12m Kevin Reed, Writer
Deloitte 'self-imposes exile' on government contracts to defuse PM row

Accounting Firms Deloitte 'self-imposes exile' on government contracts to defuse PM row

12m Kevin Reed, Writer
Managing partner Q&A - the year ahead: Julie Adams, Menzies

Accounting Firms Managing partner Q&A - the year ahead: Julie Adams, Menzies

12m Kevin Reed, Writer
Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

Business Regulation Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

1y Kevin Reed, Writer
Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

Audit Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

1y Kevin Reed, Writer
New head of equity capital markets for KPMG

Accounting Firms New head of equity capital markets for KPMG

1y Stephanie Wix, Writer