Capital gains tax raid could create one of the world's most 'anti-growth' tax systems

Rachel Reeves's upcoming Budget could lead the UK to have one of the least competitive tax systems in the developed world, according to new analyses.

The report states that if Labour enacts a capital gains tax increase, the UK might drop further in the OECD tax competitiveness rankings, potentially falling behind countries like France and Italy.

Daniel Herring of the CPS warns that increasing taxes without fundamental reform might create an anti-growth tax system, undermining Britain's long-term economic growth.

The analyses suggest that if capital gains and dividend taxes increase, the UK could slip to between 32nd and 34th in OECD rankings, which could severely impact its competitiveness.

Read at Business Matters