Category: Employment Law, Taxation and Legislation for Contractors

Chancellor George Osborne should not issue "damaging" tax rises in an effort to bring the deficit under control, the CBI has said.

This would undermine the economy's ability to grow, according to the business group, and should be avoided.

Instead, it calls for more control on spending and the re-engineering of public services to deliver more with less.

CBI deputy director-general John Cridland said the emergency Budget, set to take place next week, needs to be "bold and ambitious", with "a credible pathway for restoring sound public finances and a convincing narrative for growth".

"The UK's future economic prospects depend on the ability of firms across the country to create new jobs and win orders. Increasing taxes makes this more difficult," he added.

Taxes that should be particularly carefully reviewed include capital gains, research and development tax credit and corporate tax, the CBI suggested.

Posted by Daniel Frost