Finance (No. 3) Bill

Many firms will, of course, be grateful for the reduction in corporation tax, but will not the slashing of investment allowances go a long way towards offsetting any benefit that might have been gained by small companies in particular? According to the Institute for Fiscal Studies, the real beneficiaries of both measures will be the less capital-intensive service sector,"““historically typified by the financial sector””," rather than the small companies that export and depend on investment which the Chief Secretary is seeking to help.