The Confederation of British Industry (CBI) has called on the government to scrap it Carbon Reduction Commitment (CRC) and remove the number of environmental taxes; which the group claim are restricting businesses.
Following a survey of its members, the CBI found that whilst the majority believe environmental taxes can help stimulate business, with the Landfill Tax and Vehicle Excise Duty both well regarded; there is also a growing concern that there are now too many environmental taxes in place.
In 1989 there were only four environmental taxes in place; however this has since rose to twelve – with the taxes bringing in a combined £43.4 billion in tax revenue during 2010 / 2011.
Rhian Kelly, CBI director for business environment policy, has said of the taxes: “The current uncoordinated approach to environmental taxes is not working for business. An independent review of environmental taxes has become an urgent priority
“With a more joined-up approach, environmental taxes could provide certainty for businesses, unlock investment, and reduce the impact on the environment without damaging UK competitiveness.”
As a result of their survey, the CBI have since called for an urgent review of all environmental taxes by an independent body, like the Committee on Climate Change or the Office for Tax Simplification.
As an accountant; Roger Isaacs specialises within business turnaround and business valuation.