Liz Truss has told bosses of American multinationals her tax cuts are “just the start” of a long-term plan to “simplify” Britain’s taxes as she tries to lure investment.
She said the UK has a “significant number” of people who are “economically inactive” following the coronavirus pandemic.
Our long-term plan is to simplify Britain's taxes and to make us a better place to invest and be unashamedly pro-business
Prime Minister Liz Truss
But Ms Truss said Chancellor Kwasi Kwarteng would be scrapping the corporation tax hike, reversing the national insurance increase, and announcing other “simplification” measures.
She said the mini-budget on Friday would “get more businesses going in the UK” and also “encourage more people to go into work”.
“While this is just the start, our long-term plan is to simplify Britain’s taxes and to make us a better place to invest and be unashamedly pro-business,” the Prime Minister said, according to a transcript provided by No 10.
“And that’s every kind of business – whether it’s life sciences, whether it’s technology, whether it’s financial services.
“We want the City to be the most competitive place for financial services in the world, and we see that as a key part of the levelling up agenda, because when we unblock capital, that capital will be used across the UK to make every industry become more productive and competitive.”
We're also going to be introducing low tax investment zones across the country, in parts that are left behind. It's going to be easier to get things done in those zones
Prime Minister Liz Truss
Ms Truss said Mr Kwarteng will set out “a series of supply side reforms” aimed at boosting productivity and “reforming regulations” so that new businesses are not “hit by mountains of red tape”.
“We’re also going to be introducing low tax investment zones across the country, in parts that are left behind. It’s going to be easier to get things done in those zones,” she said.
However Ms Truss also conceded to the business leaders that negotiations to get a post-Brexit free trade deal with the US have stalled.
BlackRock chief executive Larry Fink, Microsoft president Brad Smith and Google finance chief Ruth Porat were all at the meeting, according to No 10.
Ashley Bacon, JPMorgan Chase’s chief risk officer, Boeing Defence’s Theodore Colbert III and Merck boss Rob Davis were also there.
Ms Truss hosted the business roundtable discussion as she attended the United Nations General Assembly in New York.