Corporate tax system 'not fit for purpose', says EEF

Manufacturing support body EEF has labelled the UK’s corporate tax system
‘not fit for purpose‘ and is urging a strategic overhaul.

A report released by the EEF manufacturers’ organisation says the corporate
tax system adopted for the past ten years is detrimental to recovery from the
recession

Tony Pedder, chairman of Sheffield Forgemasters International and leader of a
recent EEF business tax panel, said if the current system were to remain,
‘companies that might have been encouraged to reinvest in the next few months
will delay’, and if changes were made, ‘the opportunity is that manufacturers,
particularly those with export capability, could be at the forefront of pulling
us forward’.

Business secretary Lord Mandelson has already called for ‘less financial
engineering and more real engineering’, according to
ft.com.

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