Some good news for Farmers, Landowners & Rural Businesses in the 2011 Budget, say Saffery Champness Landed Estates & Rural Business
Commenting on the Chancellor’s Budget Speech (today 23/03/11), Andrew Arnott, a partner in the Landed Estates & Rural Business Group at Saffery Champness, says:
“A fuel duty stabiliser, to replace the fuel duty escalator, will prevent duty rises when the oil price is high, and should protect oil revenues when the price is low. This is clearly good news for all rural businesses as is the cut in the cost of fuel by 1p per litre from 6pm today”.
“The reduction in Corporation Tax from 28 per cent to 26 per cent in 2011/12 is an extra 1 per cent cut to that already announced and ultimately falling to 23 per cent, will be welcomed by larger businesses, although it should be noted that the rate is unlikely to affect most rural businesses as the small company rate for profits up to £300,000 is already 21%.
“Probably the best news, for those contemplating a sale of their rural business, is the doubling of Entrepreneurs Relief. And the moratorium on regulation for smaller businesses is good news but what is really needed is lifting of current burden”.
“The planning reforms announced, and most significantly a new presumption in favour of sustainable development so that the default position on development is ‘yes’ has to be good news. Lastly, there was welcome news on merging tax and NIC but no timescale given on this”.
Andrew Arnott concludes: “In short a positive Budget for rural businesses, farmers and landowners with some sensible measures taken”.
For further information, please contact:
Andrew Arnott (Saffery Champness London): 020 7841 4000 andrew.arnott@saffery.com
John Vaughan, John Vaughan & Co. Public Relations: 020 7647 4420 / 07596106937 jvaughan@johnvaughan.co.uk
