§ Mrs. Rumboldasked the Chancellor of the Exchequer what measures his Department has taken to encourage the increase in small businesses in the period since October 1983.
§ Mr. MooreThe Government recognise the importance and economic potential of the small business sector. Therefore, building on the wide range of fiscal measures introduced since 1979 to help small businesses, the 1984 Budget contained further assistance. Changes in company taxation, particularly the reduction in the small companies' rate of corporation tax to 30 per cent., the abolition of NIS, the halving of stamp duty, the abolition of investment income surcharge, the reductions in capital transfer tax, and the raising of personal tax allowances, will all be helpful for small business.
In addition, one of the central elements of policy since 1979 has been to reduce the legislative and administrative burdens which occupy a disproportionate amount of time and resources of small businesses. A wide ranging review—to which the Revenue departments are contributing—is now being carried out to identify where burdens can be eased.