Latest UK mini-budget: Bankers face pay overhaul, ex-executive says

The UK’s financial services sector has welcomed the Chancellor’s low-tax mini-budget, but Scottish businesses and the hospitality sector have called for more support.

“We welcome the Chancellor’s clear leadership and fresh approach and his strong support for the financial services industry,” UK Finance chief executive David Postings said. “Further tax changes and ambitious regulatory reform are needed to capitalize on this bold first step.”

Kwasi Kwarteng pledged to lift the cap on bankers’ bonuses and roll out an “ambitious package of regulatory reforms” in his statement on Friday.

However, UKHospitality, which represents more than 730 businesses, urged the government to do more.

“The Chancellor has pledged to make the UK a globally competitive tax system, but has overlooked two obvious levers to achieve this, through lower value added tax and tax rate relief. company,” said group chief executive Kate Nicholls.

The hospitality industry has been hit hard by the spread of Covid-19 and resulting restrictions on socializing, which have been compounded by a sharp rise in the cost of living.

“Today’s announcement includes a number of positive measures that will bear fruit in due course, but more is urgently needed to help struggling businesses weather the winter,” Nicholls said. .

Meanwhile, the chief executive of Scotland’s biggest estate and lettings agency has called on the devolved administration to match measures designed to boost the housing market in England and Northern Ireland.

“Scots already face much higher taxation when buying a home and any further rate cuts and threshold increases in England will only exacerbate what is already an unfair situation,” David said. Alexander, managing director of DJ Alexander Scotland.

Comments are closed.