Businesses Scramble to Sell Up Before Labour Hikes Capital Gains Tax
Labour’s penchant for high taxes has sent shivers down the spines of British business owners, prompting a flurry of sales as they scramble to escape the looming tax storm. Research from Lubbock Fine reveals a staggering 71% surge in mergers and acquisitions as business owners race to sell up. They fear Rachel Reeves’ imminent budget will tighten the tax noose around entrepreneurs with potential increases in capital gains tax…
Further fears that Labour will reduce business asset disposal relief, which allows people who own more than 5% of a company to sell their stake and pay a lower tax rate on their profits have fuelled the rush. Meanwhile, Labour have notably avoided any mention of tax rises in this bracket. If this is how business owners are reacting to potential tax hikes, one can only imagine the exodus that would follow if Reeves does announce a heavy-handed Autumn Statement…