IBEC: Irish Government must react to UK plan for lower corporate tax rate

IBEC: Irish Government must react to UK plan for lower corporate tax rate

IBEC has said the Government needs to respond to plans by the UK to reduce its corporate tax rate.

The British Chancellor George Osborne has announced he wants to boost the UK economy after Brexit by lowering the UK rate below 15%.

The move would cut more than 5% from the current rate and would see Britain close in on Ireland's 12.5% rate.

Economist with IBEC Fergal O' Brien (pictured) said the Government here must react.

"In many ways it's not surprising - we always thought that if the UK voted to exit the EU, we would see a reaction like this," he said.

"The key for Ireland is this is one of the variables we can control. This is one of the things we can influence in terms of our overall competitive position.

"We think our Government needs to react."

Read: Osborne plans UK corporation tax cuts to less than 15% for post-Brexit vote boost

More on this topic

Brexit trade talks remain deadlocked as Barnier accuses UK of backtrackingBrexit trade talks remain deadlocked as Barnier accuses UK of backtracking

Barnier laments ‘no progress’ after fourth round of post-Brexit trade talksBarnier laments ‘no progress’ after fourth round of post-Brexit trade talks

Businesses call for detail on NI protocolBusinesses call for detail on NI protocol

Three weeks to finalise plans at ports for Brexit checks – official warnsThree weeks to finalise plans at ports for Brexit checks – official warns