Lib Dems call for tax cuts for 2,100 small businesses in Hinckley and Bosworth
Ahead of Small Business Saturday, local Lib Dems call for small businesses in Hinckley and Bosworth to be given a tax cut, saving them an average of £5,000.
The tax cut would help businesses including local restaurants suffering from Christmas cancellations following new Covid restrictions
Figures reveal hit to businesses in Hinckley and Bosworth from Conservative National Insurance tax rise
Ahead of Small Business Saturday, the Liberal Democrats have called for taxes to be slashed on small businesses. Local Liberal Democrats have backed the proposals which would benefit 2,100 small businesses and entrepreneurs in Hinckley and Bosworth, from cafes and restaurants to high street shops.
The proposed tax cut would save small businesses an average of £5,000 a year by aiding them with staff costs. It would be achieved by quadrupling the Employment Allowance to £16,000 for a period of two years. This would allow a small business to employ five people on an average salary without paying any National Insurance contributions. 1.1 million businesses would be eligible for this tax cut, which would save them an estimated £5.5 billion next year.
It comes as a record number of small businesses say they are struggling with rising costs whilst new Covid restrictions loom, according to a recent survey by the Federation of Small Businesses. Local restaurants have also reported a surge in Christmas bookings being cancelled, setting owners back thousands of pounds.
Meanwhile, the Conservatives have announced small businesses will have to pay more National Insurance contributions in the new year, despite facing a tough winter. Research by the House of Commons Library has shown the Conservative plans are set to hit an estimated 1,500 local businesses in Hinckley and Bosworth with a £4,200,000 tax bombshell.
"It is disgraceful that local businesses in our area are being forced to pay even more tax by this Conservative government. We should help small businesses who have already suffered so much during the pandemic. That is why I am backing calls for our local businesses to receive a tax cut."
"Cafes, shops and start-ups are all looking at this winter with dread, yet all Boris Johnson can muster up is a massive new tax bill. The Conservatives must be living on another planet if they think the answer to business owners' problems is to put up their taxes.
"This country was promised tax cuts by the Conservatives, but yet again their promises have been proven not to be worth the paper they are written on.