Chancellor George Osborne is poised to announce a future cut in UK corporation tax to 20 per cent in next week’s Budget speech.
Osborne (pictured) has cut corporation tax from 28 to 25 per cent since becoming Chancellor. He already plans to cut it to 23 per cent over this parliament but The Sunday Times reports that he will announce a future cut to 20 per cent in the Budget.
The Sunday Times also reports that Osborne is not likely to make significant changes to higher-rate pension tax relief.
Deputy Prime Minister Nick Clegg has called for the richest to pay their fair share of tax, pledging to “call time on tycoon tax dodgers”.
The Lib Dem leader told delegates at their spring conference in Gateshead that it was a “basic justice” that those earning the most should contribute most in tax.