The cut to Corporation Tax on company profits is a particularly obscene proposal at a time when £12 billion is being removed from social security support to low income families, including millions of public sector workers. The UK already has the lowest Corporation Tax in the G20 and the proposed reduction is expected to cost £2.5 billion a year by 2020 on top of £5 billion a year lost by earlier Con Dem cuts.
In the debate on the second reading it was stated by SNP MP George Kerevan that the surplus balances held by British companies 'total something in excess of £0.5 trillion, and some estimates put it at more than £1 trillion. A reasonable estimate is £0.5 trillion or £550 billion’ – where is the morality in the Tory Government cutting profits tax on corporations sitting on these enormous cash mountains thereby rewarding their investment strike? And where are Labour’s morals in failing to oppose this unjustified corporate windfall?
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