THE FORUM OF PRIVATE BUSINESS
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The 22,500-company Forum of Private Business forms its policy plans directly from responses received from the membership.
They want the next Budget to ease cashflow problems through a variety of measures including the statutory right to interest on overdue debts and the easing of business rates. Within the transport sector, the most popular suggestions are the holding down of business rate poundages and the statutory right to interest on late debts.
Other measures suggested by all FPB members include the moderation of employers' National Insurance contributions; payment of tax in arrears; reduction of corporation tax for unquoted businesses; the extension of capital allowances; a review of the business rating system; the integration of NI and PAYE; measures to tackle the black economy; and the elimination of upward-only rents and Privity of Contract.
THE CONFEDERATION OF BRITISH INDUSTRY
The employers organisation, the CBI, wants a package of measures which will promote balanced growth and which will contain the pressure on interest rate increases. Proposals included restraint in public spending while maintaining public investment; a reduction in public borrowing; the reform of Capital Gains Tax to encourage individuals to build up and retain wealth in businesses; 100% depreciation for a small "first slice" of annual investment in plant and machinery; raising costs through equity finance tax deductible.
For smaller firms, the CBI wants the profit limit applied to the 25% Corporation Tax threshold and a higher VAT registration threshold; the widest possible scope for Venture Capital Trusts; the Enterprise Investment Scheme to be made more usable by small businesses; and changes in inheritance tax.
THE FEDERATION OF SMALL BUSINESSES
The Federation of Small Businesses, does not currently have a set of suggestions for the next Budget.
However, its policy document is as detailed as that put out by Labour and covers many areas. Chief among these is a diversification of the banking industry structure to end the domination of the clearing banks; the provision of secure, stable, long term finance with preferential rates for businesses which are shown to be viable; customs officers to be made responsible for the advice they give;the abolition of Capital Gains Tax; retained profits of sole traders to be taxed at 25% up to the small limited company limit; and a reduction of VAT to 15%.
0 by Adam Bernstein