The Summer Budget has been labelled as a “barnstorming Budget for business” with reductions in corporation tax set to “supercharge” UK firms.
Howard Sears, managing director of the venture capital firm Astuta, said the Budget would only boost confidence amongst UK businesses.
He said: “Confidence among UK businesses is already strong but these latest reductions in corporation tax will supercharge it.
“As well as sending out an important message to UK business owners, the reduction in corporation tax will give them a strong competitive edge and the all-important breathing space to grow.
“Importantly, the corporation tax a country charges is integral to the due diligence companies undertake when deciding where to set up or expand. Again, this will make the UK more attractive as a global business hub.”
But he warned that the government’s crackdown on non-doms could harm the market.
“The government’s ongoing clampdown on non-doms will be welcomed by many but if it disincentivizes internationally mobile entrepreneurs, it could have an adverse effect over the longer term.
“A balance has to be struck between taxing people at the right level and keeping the UK attractive to entrepreneurs from around the world, although the attractive corporation tax cuts will go some way to mitigate this.”
But overall he felt the Budget was good for business: “For British business, this was a frankly barnstorming budget.”