Darling upsets almost everyone
Too much or not enough, or both?
The Chancellor's pre-Budget report got a distinctly mixed reaction from business and technology groups. Although tax cuts for companies focussed on research was welcomed, no-one welcomed the hike in National Insurance.
The Federation of Small Businesses welcomed the delay in the 1p increase in corporation tax for smaller firms and the extension of the £1.3bn enterprise finance guarantee. But the FSB said there should have been more assistance offered to small companies and pointed out that the increase in National Insurance payments would not be encouraging firms to take on more staff.
John Wright, FSB National Chairman said: "The Government has missed a chance to really tackle a difficult credit market by failing to create more options for access to finance, and more competition among high street banks. The Government should have addressed this challenge and looked at options such as a regional stock exchange to help small and fast growing businesses capture finance."
Alistair Darling also offered tax cuts to firms making money from patents. Barry Murphy, tax partner and head of tech at PwC, said: "After prolonged noise the technology industry will welcome the decision to introduce the patent box. However, as implementation is not until 2013 it is unlikely to benefit companies until 2020 at the earliest - assuming normal investment cycles return. In addition, the announcements would suggest this is only for Pharma and BioTech, and no doubt further consultation will be required to ensure other technology sectors are not neglected. "
The CBI damned Darling on two counts - failing to restore confidence in the UK's credit rating and failing to act on job creation and growth.
Richard Lambert, CBI Director-General, said: “There were two tests for this Pre-Budget report. First, would it increase the credibility of Government plans to restore the public finances? Second, would it be a platform for job creation and economic growth? The Government has failed on both counts."
The CBI also described Darling's attempt to curtail bankers' bonuses as a futile headline grabbing gesture which could see financial services companies leave the UK.
But it welcomed the move to a 10p corporate tax for companies dependent on patents. ®
Anyone who thinks that the tories or any other party are going to be any better is deluded.
ALL politicians have contempt for the electorate.
They only ask us to vote every 5 years because they have to, this is shown by the way it is left to the last minute.
I am no fan of labour, but give it another 10 years and we will be saying the same thing about the tories and the pendulum of failure will swing back.
Time for a new system where they are more bound to our wishes, we are the people, the electorate and it is our country afterall!!!
@whining public sector workers
Well, boo hoo. You think you're overworked and underpaid in your little public sector bubble, awww and only a 1% pay rise for a couple of years, my heart bleeds it really does.
Try working in the private sector, how about for a company that instead of promising you a 1% pay rise wants you to take a 5% pay cut instead, which would take your wages to below what it was when you were hired several years earlier. Think you're overworked having to do the work of two people, try having the work of two people to do when you're friends and colleagues are made redundant, oh wait, another quarter is over, you've now got the work of three...four...five people to do.
If you've a nice cushy pension, a guaranteed pay rise and have never had to book a days holiday in to catch up on work you've got nothing to complain about.
Re Bye Bye Bankers
I've seen lots of comments like this on various websites, but I didn't expect it here. I normally think the readers of El Reg are reasonably intelligent, but you are obviously a moron. The reason banking is important to the UK is we're good at it. It delivers a huge amount of money into the economy. If the bankers were to f*ck off the economy would drop by 30%, is that what you want?
Banking is a highly complex global business which you obviously don’t understand at all, maybe that’s why you don’t work in banking and don’t get to enjoy the benefits.
If you’re mates in manufacturing want to compete with China go for it, but I bet they don’t want to work for a dollar a day 7 days a week.
Maybe you should think of the implications of what you ask for rather than spouting jealous bile.