Stormont tax talks 'constructive'

Published Thursday, 15 December 2011
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A joint ministerial working group meeting to discuss a reduction in corporation tax in Northern Ireland has been described as "very constructive" and "worthwhile".

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Stormont Ministers met with a delegation from Westminster on Thursday for the talks, which were chaired by Treasury Minister David Gauke.

A work programme was agreed for the coming months to prepare for devolution of corporation tax and examine issues raised during a recent consultation.

The First and Deputy First Ministers welcomed the progress that was made.

A joint statement from Peter Robinson and Martin McGuinness read: "We welcome the fact that the group has met and we look forward to working together to reach a position where we have the powers to set out our rate of corporation tax."

Secretary of State Owen Paterson, who has described the meeting as "significant", said "real work on devolution of corporation tax had started."

"The discussion at today's meeting was a most constructive first step," he said.

"We now need to discuss this in real detail before the Government decides whether or not to proceed further."

Business leaders and political representatives have campaigned to see the tax reduced from the current UK rate of 26% to the Republic of Ireland's 12.5%, in the hope that this would boost the economy and help the region's companies compete with their southern competition.

In September, Finance Minister Sammy Wilson indicated that Northern Ireland will have to wait at least four years before seeing a cut in the level of corporation tax.

Speaking after Thursday's meeting Mr Gauke said: "The Northern Ireland Executive has signalled that it wants the power to vary corporation tax rates.

"I welcome the ongoing engagement with the Executive as we seriously examine the implications of devolution, including on costs and the impact on businesses before we can decide whether devolution would be in the interests of both Northern Ireland and the UK as a whole."

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3 Comments
Raymond B in Belfast wrote (518 days ago):
Hi' Sammy, please inform the people of Northern Ireland where you intend to find the £400 million pounds we will lose from the block grant should you and your fellow clowns in the Assembly reduce corporation tax to 12.5%. Will you in some way attempt to recover it from the big stores by robbing them as you did with the rates?
Charlie in Belfast wrote (518 days ago):
When are the idiotic clowns and useless bird brained M.L.A's going to give over talking about theNV4UV changes they they intend to introduce and start acting positively == I think Never Never Never == If you see what I mean, Everyone now realises that the only thing the clowns in the Northern Ireland Assembly are good at is TALKING and drawing their EXPENSES and FAT PAY CHEQUES to spend during their extended and far too generous holidays,
Kevin in Belfast wrote (523 days ago):
Thats it me boyos, mimic the the souths economy, that way come integration, things will be all that easier during the transition and less of a fight /fuss can be made. Mwah ha ha ha, mwah ha ha ha (evil laught).
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