Businesses warn of ‘catastrophic’ skip tax

THE INTRODUCTION of a hike in tax on skips could see as many as four companies a day close their doors, businesses have warned.

The fears were put to a protest meeting at the House of Commons, held after it emerged that the rate to put some types of rubble in landfill sites would rise from £2.50 per tonne to £64 per tonne.

The proposals have provoked concerns over fly-tipping, with critics suggesting such a hefty rise would encourage the practice, reports The Independent.

Mark Bensted, managing director of the recycling firm Powerday, told MPs: “It’s irresponsible; it’s unfair; and the implication of the rise could be catastrophic for this industry and the construction industry as a whole.”

Demonstrations have already been staged in Parliament Square by skip hire companies, with further protests planned amid fears businesses will go bust or lay off workers.

An HM Revenue & Customs spokesman said: “We responded to concerns expressed by landfill operators that some companies were not paying the right rate of tax and in the process disadvantaging those who paid the correct rate.”

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