Labour vows to maintain ‘most competitive rate of corporation tax in the G7’

As part of its business manifesto which the party released today, Labour said it would maintain the last Labour Government’s commitment to making Britain the country with the most competitive rate of corporation tax in the G7.

The manifesto also pledged to cut and freeze business rates for more than 1.5 million small business properties, rather than cutting the corporation tax further.

Labour also highlighted wages and zero-hour contracts. The manifesto said: “We will stop firms from being dragged into a race to the bottom on wages and skills by banning exploitative zero-hour contracts and setting a clear five-year target to raise the minimum wage.”

“And we will help firms to go further by introducing ‘Make Work Pay’ contracts, with tax rebates to firms that sign up to become living wages employers in the first year of a Labour Government.”

The party also said it would “safeguard” the UK’s future and prosperity by maintaining its membership of the EU.

“The single market gives UK businesses access to the world’s largest trading bloc,” said the document. “Over three million UK jobs are linked to trade with the European Union, and half of our exports are to other EU countries. Yet many senior business leaders have warned that we are sleepwalking towards an exit rather than working to reform the EU so that is works in the interests of Britain.”

Labour also promised to back UK businesses which export more to the rest of the world. “We can support trade agreements which can bring significant benefits to the UK,” the manifesto said.