The CBI has long been calling on the government to urgently reform the business rates system. This change would put business rates back on a sustainable path to supporting investment, economic growth and prosperity across the UK. We have welcomed the government’s review of the business rates system and their subsequent call for evidence and have drawn on the views across our membership to formulate our response to their tranche 1 and tranche 2 calls.
Business investment is a core determinant of sustainable economic growth and prosperity and should therefore be a pivotal part of rebuilding the economy following the pandemic. However, UK business investment remains weak both relative to historical standards and international peers, which means the potential gains from boosting business investment could be huge.
We believe that the policy environment needs to provide businesses with the confidence to invest, with tax policy a key lever the government can use to directly