BPF Comments on the Chancellor’s Pre-Budget Statement
Wednesday, 10 October 2007
Peter Davis, Director General, of The British Plastics Federation commented,
“The new capital gains tax rate of 18% will affect many plastics businesses adversely and affect investment negatively.
The Government’s reduced estimate of 2-2.5% growth for 2008 could be optimistic with the consumer slowdown we are currently witnessing. Public borrowing at 3-4% of GDP is unsustainable when income from taxation could fall.”
In a recent BPF survey member companies were strongly against local authorities being given the power to levy a supplementary rate on businesses, but this is what the Chancellor is proposing, a two pence in the pound supplementary rate on businesses. The BPF will oppose this extra tax on plastics companies that funds, often inefficient, local authorities.
Davis continued, “We object strongly to the annual increase in the Climate Change Levy. The Plastics Industry suffers a competitive disadvantage by not being energy intensive and getting the 80% rebate which metals, glass and paper get. The Levy comes on top of the highest energy prices in Western Europe.”
Ends . . .
For a full copy of the letter or further details on this press release please contact:
Philip Batten, British Plastics Federation, 6 Bath Place, Rivington Street, London, EC2A 3JE
Tel: 020 7457 5007
Email: [email protected]
Notes for editors
1) British Plastics Federation (BPF) is the UK trade association for the plastics industry – representing the whole supply chain including polymer producers, distributors, additives suppliers, machinery manufacturers, processors and recyclers.
