Tax hike fears

Tech leaders warn Labour over tax hikes

Prime Minister Sir Keir Starmer has pledged that Chancellor Rachel Reeves' upcoming Budget will focus on economic growth and wealth creation. However, proposed tax increases, particularly on capital gains, are raising concerns among British entrepreneurs. Sir Martin Sorrell cautioned that “increasing capital gains tax, especially without index-linking or time apportionment, will drive entrepreneurs and business owners out of the UK.” Tech leaders, including Lewis Liu, warn that a capital gains tax hike could jeopardise the UK's tech ecosystem, pushing talent abroad. The tech sector, contributing over £150bn to the economy annually, is urging the Government to reconsider tax policies that could hinder growth. As the Budget approaches, the stakes are high for the future of the UK's tech industry, says Jess Jones in City AM.