London is in danger of losing its status as top business base
LONDON is in danger of losing its standing as the premier place to do business, according to an influential survey published today.
While four fifths of chief executives continue to rate the capital as a good or very good place to do business, this has fallen by six per cent in the past six months, and by almost a fifth since its peak three years ago when 96 per cent of firms viewed London as the top business venue.
A triple whammy of overall business operating costs, the high rate of both personal and corporate tax and London’s creaking transport system, were cited by London-based firms as their key concerns over using the capital as a business base, according to the bi-annual survey by accountancy firm KPMG in conjunction with business lobby group the CBI.
The survey indicates that firms have real concerns over the impact of the new 50 top
personal income tax rate, with almost two thirds (57 per cent) of businesses believing it will hit London’s popularity as base.
In light of the findings, the CBI is lobbying Prime Minister David Cameron to slash both regulation and tax to ensure London retains its global competitiveness. “We must ensure it (London) can compete with other cities globally,” said Nigel Bourne, director of CBI London.