Business leaders in Scotland have been reacting to a statement released by George Osborne last week. With the country set to receive an increase of £330m for capital projects, there is some approval.
Speaking about the reduction in corporation tax, the chief executive of the Scottish Chambers of Commerce Liz Cameron said:
“The plan to reduce our headline rate of corporation tax to just 21 per cent by 2014 is extremely welcome and send out a clear message that Scotland and the UK are places to do business. This is one of the lowest rates of corporate taxes across the major economies and not only provides an incentive to indigenous business but also makes Scotland an even more attractive location for inward investment.”
Many home-based firms are already helping with funding too, with factoring companies in Scotland eager to support other businesses.
Cameron went on to praise an increase in plant and machinery investment which will take the amount to £250,000, saying that small and medium business in particular would be boosted by the news.
The executive director of the Institute of Directors Scotland, David Watt agreed, saying:
“As a consequence of this, the Scottish government will received approximately £394m to spend on infrastructure, which should allow them to get on track with some of their ‘shovel ready’ projects.”
Osborne also said that there will be a focus on upgrading the A1 route between London and Newcastle. However, Watt said these upgrades need to continue north, with businesses in the country desperate to see a world class road system linking Scotland’s cities.