Budget 2013: Some of Osborne's tiny changes could give a big boost to British industry

Help for the housing martket, more apprenticeships, investment in research and development: all could help create jobs on our shores

Share
Related Topics

If there was a Budget to get the UK’s animal spirits soaring again, then this could be the one.

On top of the cuts in corporation tax and national insurance, there’s a  basket of new measures to help  enterprise such as the abolition of stamp duty for buying shares on AIM, the UK’s listed small-company stock market, and other growth markets; capital gains tax relief on employee share ownership; an extension of relief for start-ups as well as the introduction of tax relief on private investment in social enterprises.

These may seem like tiny changes but over time they can add up to have a big multiplying effect. Just abolishing stamp duty on trading shares in the growth stock markets could give a huge boost, with analysts forecasting up to a million new jobs to the economy over the next few year.

It’s also a good sign that the Chancellor has finally understood that equity finance should be treated as favourably – if not more so – than debt.

Clem Chambers, the chief executive of ADVFN, the private investors’ website, liked the way Mr Obsorne used what he called the “Thatcher multiplier rather than the Keynesian one”, thus taking tax away from the roots of growth rather than taxing the fruits.

Now Mr Chambers, and other business leaders, want the Chancellor to go further and cut stamp duty on the main market as well. They are right and it should be the priority for next year’s Budget.

Apart from keeping costs down for personal investors, dropping stamp duty will help with equity financing for SMEs. In another move to release funds, tax breaks on investments in social enterprises could release up to £480m into the growing sector.

Add in Osborne’s measures on apprenticeships, R&D credits for industry, the adoption of key parts of the Heseltine review and Vince Cable’s industrial strategy, as well as help for the housing market then he’s right to claim it was a Budget of aspiration; now comes the perspiration.

React Now

Latest stories from i100
Have you tried new the Independent Digital Edition apps?
SPONSORED FEATURES
iJobs Job Widget
iJobs General

Recruitment Genius: Business Development Manager - Commercial Training

£30000 - £50000 per annum: Recruitment Genius: The business development manage...

The Richmond Fellowship Scotland: Executive Director

£66,192 per annum including car allowance of £5,700): The Richmond Fellowship ...

Recruitment Genius: Customer Service Advisor

£16575 - £19000 per annum: Recruitment Genius: An excellent opportunity is ava...

Recruitment Genius: Office Junior

£18000 - £20000 per annum: Recruitment Genius: This is a fantastic opportunity...

Day In a Page

Read Next
George Osborne walks down the stairs from a submarine during a visit to the Royal Navy's submarine base at Faslane on August 31, 2015 in Faslane Scotland  

Sorry George Osborne, but it's Trident that makes us less safe, not Jeremy Corbyn

Kate Hudson
Fighters from Isis parading in Raqqa, northern Syria, where the ‘Islamic State’ has its capital; Iranian-backed Shia militia are already fighting the group on the ground in Iran  

Heartlessness towards refugees is the lifeblood of jihadist groups like Isis

Charlie Winter
Isis profits from destruction of antiquities by selling relics to dealers - and then blowing up the buildings they come from to conceal the evidence of looting

How Isis profits from destruction of antiquities

Robert Fisk on the terrorist group's manipulation of the market to increase the price of artefacts
Labour leadership: Andy Burnham urges Jeremy Corbyn voters to think again in last-minute plea

'If we lose touch we’ll end up with two decades of the Tories'

In an exclusive interview, Andy Burnham urges Jeremy Corbyn voters to think again in last-minute plea
Tunisia fears its Arab Spring could be reversed as the new regime becomes as intolerant of dissent as its predecessor

The Arab Spring reversed

Tunisian protesters fear that a new law will whitewash corrupt businessmen and officials, but they are finding that the new regime is becoming as intolerant of dissent as its predecessor
King Arthur: Legendary figure was real and lived most of his life in Strathclyde, academic claims

Academic claims King Arthur was real - and reveals where he lived

Dr Andrew Breeze says the legendary figure did exist – but was a general, not a king
Who is Oliver Bonas and how has he captured middle-class hearts?

Who is Oliver Bonas?

It's the first high-street store to pay its staff the living wage, and it saw out the recession in style
Earth has 'lost more than half its trees' since humans first started cutting them down

Axe-wielding Man fells half the world’s trees – leaving us just 422 each

However, the number of trees may be eight times higher than previously thought
60 years of Scalextric: Model cars are now stuffed with as much tech as real ones

60 years of Scalextric

Model cars are now stuffed with as much tech as real ones
Theme parks continue to draw in thrill-seekers despite the risks - so why are we so addicted?

Why are we addicted to theme parks?

Now that Banksy has unveiled his own dystopian version, Christopher Beanland considers the ups and downs of our endless quest for amusement
Tourism in Iran: The country will soon be opening up again after years of isolation

Iran is opening up again to tourists

After years of isolation, Iran is reopening its embassies abroad. Soon, there'll be the chance for the adventurous to holiday there
10 best PS4 games

10 best PS4 games

Can’t wait for the new round of blockbusters due out this autumn? We played through last year’s offering
Transfer window: Ten things we learnt

Ten things we learnt from the transfer window

Record-breaking spending shows FFP restraint no longer applies
Migrant crisis: UN official Philippe Douste-Blazy reveals the harrowing sights he encountered among refugees arriving on Lampedusa

‘Can we really just turn away?’

Dead bodies, men drowning, women miscarrying – a senior UN figure on the horrors he has witnessed among migrants arriving on Lampedusa, and urges politicians not to underestimate our caring nature
Nine of Syria and Iraq's 10 world heritage sites are in danger as Isis ravages centuries of history

Nine of Syria and Iraq's 10 world heritage sites are in danger...

... and not just because of Isis vandalism
Girl on a Plane: An exclusive extract of the novelisation inspired by the 1970 Palestinian fighters hijack

Girl on a Plane

An exclusive extract of the novelisation inspired by the 1970 Palestinian fighters hijack
Why Frederick Forsyth's spying days could spell disaster for today's journalists

Why Frederick Forsyth's spying days could spell disaster for today's journalists

The author of 'The Day of the Jackal' has revealed he spied for MI6 while a foreign correspondent