IFA champion and former Conservative Shadow Treasury chief secretary Howard Flight has hit out at the Government claiming overspending and increased taxation has resulted in lower productivity and is driving budding entrepreneurs out of the UK.
Speaking at the Enterprise Investment Scheme Association awards last night Flight, who is chairman, said Britain needed to nurture its entrepreneurs because they kept the economy afloat.
He said: “Large, publicly quoted companies are constrained by the growing volume of regulation and corporate governance requirements. Not surprisingly it has been the private equity sector to which much of the entrepreneurial talent in the UK has migrated. More than half the jobs in the private sector are now provided by small and medium size businesses, and enterprise investment schemes have served to attract some £12bn of funding to thousands of new businesses.”
Alchemy Partners managing partner and founder Jon Moulton criticised the Government’s plans to introduce an 18 per cent flat rate capital gains tax and remove tax relief during his key note speech.
He said: “At a time when the economy is heavily reliant on business entrepreneurs to take risk the Government has massively disincentivised investors with ill thought through changes to capital gains tax.”