Theresa May to promise to slash corporation tax and to keep it lower than Trump's

She is also set to unveil a major increase in funding for R&D projects...

Theresa May to promise to slash corporation tax and to keep it lower than Trump's

Jack Taylor PA Wire/PA Images

Theresa May is to attempt to woo Britain's bosses with the promise of tax cuts and a new Government approach to business: "Stepping up, not stepping back."

In her first speech to a CBI business conference, she will promise £2bn of investment in science and research and tax breaks for innovators in the Chancellor's Autumn Statement.

She will also announce that the British Treasury is to launch a review into the scope for further cuts in corporation tax post-Brexit and for increasing tax credits for research and development.

In a speech which will contrast with some of her earlier attacks on big business, she will say: "We believe in business - the entrepreneurs and the innovators who employ millions of people up and down this country."

And in a bold pledge which will delight bosses, the UK's PM will also suggest that the Tories will cut corporation tax even lower than the 15% promised by Donald Trump in his US presidential election campaign.

She will say: "We will also review the support we give innovative firms through the tax system... because my aim is not simply for the UK to have the lowest corporate tax rate in the G20, but also one that is profoundly pro-innovation."

In her speech, Mrs May will promise an ambitious modern industrial strategy, with a new way of thinking for government and new approach.

"It is about government stepping up, not stepping back, building on our strengths, and helping Britain overcome the long-standing challenges in our economy that have held us back for too long," she will say.

"It is about making the most of the historic opportunity we now have to signal an important, determined change.

"It is not about propping up failing industries or picking winners, but creating the conditions where winners can emerge and grow.

"It is about backing those winners all the way, to encourage them to invest in the long-term future of Britain. And about delivering jobs and economic growth to every community and corner of the country."

IRN