Policy paper
Corporate Tax Roadmap 2024
This Roadmap sets out the government’s plans on Corporation Tax, including commitments to key features of the system and highlights several areas where the government will be exploring change.
Documents
Details
Alongside the Budget, on 30 October 2024, the government published a Corporate Tax Roadmap setting out its plans in Corporation Tax and a small number of other taxes over the course of the parliament. This Roadmap reflects the views of businesses and tax experts, who have been clear that a stable and predictable tax environment provides the confidence needed to encourage investment, innovation, and growth over the long-term.
The major commitments include:
- capping the headline rate of Corporation Tax at 25% for the duration of parliament, the lowest rate in the G7
- retaining the small profits rate and marginal relief at current rates and thresholds
- maintaining our world leading capital allowances system, including permanent full expensing and the £1 million annual investment allowance
- maintaining the generosity of R&D reliefs
- working collaboratively with companies on simplification and improving user experience, including HMRC’s path forward on digitisation
- developing a new process for increasing the tax certainty available in advance for major investments
The Roadmap also includes a list of consultations stakeholders can expect in the coming months.
There is a high appetite for policy stability on Corporation Tax following several years of significant change. The Roadmap is designed to give businesses the certainty they need without compromising on competitiveness, maintaining the UK’s position as the most attractive major economy to invest in.