Oral Answers to Questions

Edward Leigh Excerpts

Thursday 8th December 2011 Commons Chamber

[Mr Hayes]

My hon. Friend, who is a great champion of his local college and a great local Member of Parliament, has written to me about that very matter. I have his letter here. I am pleased to say that I have arranged to speak to him on Monday about the details of his question, and I can also tell him that as soon as I became the Minister we announced new capital funding. I do not say this with any joy—I say it more in sorrow and anger—but what a contrast with the last Government, who presided over a capital funding debacle.

[Mr Edward Leigh (Gainsborough) (Con)]

19. What assessment he has made of the effect on the growth of small and medium-sized enterprises of planned reductions in the level of taxation; and if he will make a statement.

[The Secretary of State for Business, Innovation and Skills (Vince Cable)]

Many SMEs will benefit from lower corporation tax, reforms to research and development tax credits, relief of business rates, increases in employer national insurance contribution thresholds and tax advantages in the 22 new enterprise zones.

[Mr Leigh]

We already have the longest tax code in the world. Does the Secretary of State accept that what business wants are not more allowances from the Government but across-the-board tax cuts so that they can get on with running their own business in their own way?

[Vince Cable]

Many businesses, as I have just said, receive substantial tax cuts, which is absolutely right. As the economy progresses, there will be more, and there is also an exercise in tax simplification, the results of which will be announced at the beginning of next year.