Dan Peters 25 March 2015

Give commercial councils tax break, argues think tank

New council-owned trading companies should be given a three-year corporation tax holiday funded by government departmental underspends, according to a new report from think tank Localis.

Localis has estimated it would cost no more than £72m, £86.4m and £103.4m in successive years up to 2018.

The think-tank found that entrepreneurial activities could rise from making up 6% of council budgets – equivalent to about £10bn in 2012/13 – to 18% – equivalent to at least £27bn – by 2020.

Almost six in 10 councils own a trading company while 57% operate a joint venture with the private sector. Localis argued that by 2020 owning a trading company will be the default position for councils.

However, survey respondents warned that in-house skillsets were the ‘biggest barrier’ to councils being entrepreneurial.

The report read: ‘Rising commercialism in councils has to be seen as a positive development rather than a reluctant reaction to austerity. Never in living memory has there been such a case for an entrepreneurial approach.’

SIGN UP
For your free daily news bulletin
Highways jobs

Residential Worker

Essex County Council
£27934.00 - £35344.00 per annum + + 26 Days Leave & Local Gov Pension
Residential WorkerPermanent, Full Time£27,934 up to £35,344 Per Annum (includes allowance) equal to £14.48 to £18.32 Per HourLocation
Recuriter: Essex County Council

Early Years Keyworker

Royal Borough of Greenwich
£37,068 - £38,058
Want to make a difference for children with special educational needs in Greenwich? Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Early Years Area SENCo

Royal Borough of Greenwich
£39,855 - £42,324
Have you got extensive experience in working within Early Years, with a clear understanding of child development Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Young Persons Substance Misuse Service Pathfinder

Royal Borough of Greenwich
£31,524 - £32,931
Are you looking to change the lives of young people? Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Senior Regulatory Compliance Officer

Royal Borough of Greenwich
£37,068 - £38,058
You will be an apprentice embedded within the Trading Standards team. Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich
Linkedin Banner