Theresa May promises to make UK ‘low tax haven of Europe’

Theresa May will pledge to make the UK the low tax haven of Europe, in a speech in the US today.

The Prime Minister will tell an audience in the States that Britain plans to implement “the lowest rate of corporation tax in the G20”, saying it will make the UK “one of the most business-friendly economies in the world”.

Speaking at the Bloomberg Business Forum, she will say: “Whatever your business, investing in a post-Brexit Britain will give you the lowest rate of corporation tax in the G20.

“You will access service industries and a financial centre in London that are the envy of the world; the best universities, strong institutions, a sound approach to public finance and a consistent and dependable approach to high standards but intelligent regulation.”

May will commit the Government to cutting corporation tax from 19 per cent to 17 per cent as part of an “unequivocally pro-business” new tax regime.

She will say she plans to create a post-Brexit economy that is “knowledge-rich, highly innovative, highly skilled and high quality but with low tax and smart regulation”.

The Prime Minister’s plans are reportedly designed to appeal to Eurosceptics in her party, after her latest Brexit plans came up against opposition.

This week Mark Francois, the vice chairman of the European Research Group, said: “If push really comes to shove, and they try to push Chequers through the House of Commons, then I and my colleagues will vote against it.”

Asked if she was bluffing when she suggested that UK could still leave the EU without a deal May said: “No. What we issued yesterday was some more technical notices to help businesses and others who would need to prepare in a no-deal situation ... that’s the right sensible approach.”

She also refused to say she would resign if her Chequers plan was rejected by MPs in a Commons vote, declaring: “They will have to recognise, looking at their vote, that what we are doing is delivering on the vote of the referendum and delivering on the vote of the British people.”