London Daily

Focus on the big picture.
Saturday, Oct 03, 2026

CBI president calls on government to 'stop hiking taxes' and to focus on boosting investment

CBI president calls on government to 'stop hiking taxes' and to focus on boosting investment

Lord Bilimoria's speech to the business group's annual conference comes days after a poorly-received address by Boris Johnson which saw the PM offer his thoughts about Peppa Pig World.

The president of the CBI has called on the prime minister to "stop hiking taxes and focus on boosting investment" in a rebuke over the increasing burdens being placed on business.

Lord Bilimoria will cite policies such as plans to increase corporation tax and national insurance in a speech to the business organisation's annual conference.

It follows a stumbling and poorly-received address by Boris Johnson to the same conference earlier this week in which the PM veered into ruminations about Peppa Pig World.

In his speech, Lord Bilimoria - founder of Cobra beer - will say the UK can "look forward to a more confident global future by championing collaboration and competitiveness" and praises Britain's leadership on the world stage.

He also highlights the strengths of Britain's services export industry, as an inward investment destination and in its universities but urges against complacency.

Lord Bilimoria pointed to "steps in the right direction" including a "super-deduction" tax break for investment but highlighted "big areas where we must improve", with Britain lagging well behind Germany and the US on research and development spending.

"The government have said they want a high-wage, high-growth, high-investment, high-productivity economy. Business agrees," said the CBI president.

"But right now, we are facing a high-tax economy."

Lord Bilimoria pointed to plans to hike corporation tax from 19% to 25% and the national insurance hike of 1.25 percentage points for workers plus 1.25 percentage points for employers.

Lord Bilimoria is the founder of Cobra beer


Meanwhile, business rates "still need fundamental reform" and the burden of property tax is four times higher than in Germany and three times above the average in the OECD, a club of global economies.

"Together, this all adds up to the UK having the highest tax burden in 70 years," Lord Bilimoria said.

"What we need is to stop hiking taxes and focus on boosting investment."

The speech comes two days after CBI director-general Tony Danker said that the UK "feels like a branch line economy" in many areas after years of neglect in left-behind parts of the country.

That language seemed to chime with the frustration of regional leaders after the government scaled back plans for HS2 and abandoned a new Manchester-Leeds line.

Newsletter

Related Articles

0:00
0:00
Close
Church of England to Apologize for Role in Historical Forced Adoptions
UK Defence Ministry Investigates Historical Use of RAF Bases by Jeffrey Epstein
Scottish Housing Completions Fall to 11-Year Low
Welsh First Minister Calls for Expanded Devolution Settlement
UK Pledges £50 Million to Expand Domestic Military Drone Capabilities
UK Opens First Commercial Geothermal Plant in Cornwall
Green Party Wins Gorton and Denton By-Election as Labour Falls to Third
Prime Minister Andy Burnham Opens Review of UK-EU Relationship
UK Inflation Rises to 3.1%, Adding Pressure on Household Finances
UK Removes VAT From Domestic Electricity Bills to Ease Winter Energy Costs
Counterterrorism Police Arrest Sixth Suspect Over RAF Fairford Incident
UK Councils to Receive Sweeping Planning Powers to Ban New Vape and Betting Shops
Chancellor John Healey Faces Tax and Pension Scrutiny Ahead of Autumn Budget
Metropolitan Police Apologise for Accidental Disclosure in High-Profile Investigation
UK Universities Report Record International Enrolment as Housing Pressure Grows
UK Logistics Firms Monitor Rhine Disruption as Low Water Threatens European Supply Chains
UK Food Industry Warns Inflation Could Approach 7%
UK Introduces Vaping Duty and Mandatory Retail Stamps
Scotland Raises Property Taxes and Expands Child Payment in Annual Budget
Greggs Plans Four Factory Closures With 740 Jobs at Risk
OECD Raises UK 2026 Growth Forecast to 1.1%
UK Inflation Rises to 3.1% as Bank of England Faces Rate Debate
Andy Burnham Criticises Brexit and Says Rejoining EU Single Market Remains an Option
UK Imposes New Sanctions on Russian Military Networks and Propagandists
UK Launches Nationwide Early-Release Prison Scheme
Andy Burnham Says Security Services See Signs of Iranian Involvement in RAF Fairford Incident
Manchester City Found Guilty on Premier League Financial Charges After Independent Investigation
Scottish Court to Rule on Bid to Force No-Confidence Vote Against Aberdeen Council Co-Leader
UK Bans Extra Charges for Seating Children Under 12 Beside Accompanying Adults
UK Introduces Vaping Duty and New Licensing Requirements
Greggs to Close Four UK Factories and Cut 740 Jobs
Hundreds of Prisoners Released Early as England and Wales Prisons Reach 98% Capacity
UK Unveils New Russia Sanctions Targeting War Funding and Shadow Fleet
Burnham Says There Are Strong Indications of Iranian Involvement in RAF Fairford Security Breach
Prime Minister Andy Burnham Raises Prospect of Reviewing Britain's Post-Brexit EU Relationship
Markets Price in Bank of England Rate Increases as Inflation Rises to 3.1%
UK Borrowing Costs Climb Toward 5.5% as Global Bond Sell-Off Intensifies
UK-France One-In-One-Out Migration Agreement Expires as London Seeks Alternative Measures
Southwest England Faces Flood Alerts After Heavy Autumn Storms
UK Expands Funding for Rapid Electric Vehicle Charging Infrastructure
Welsh Government Approves Funding to Upgrade South Wales Transport
Northern Ireland Tensions Rise as Orange Order Rejects Drumcree Compromise
NHS Leaders Back Early Design of Proposed National Care Service
More Than One-Third of Regional UK Universities Face Financial Deficits
UK Current Account Deficit Narrows as Cross-Border Financial Flows Remain Strong
Bank of England and FCA Issue New Rules for Stablecoins and Digital Assets
MI5 Warns UK Universities Over Research Links With Chinese Institutions
UK Energy Price Cap Rises 4% as Electricity VAT Is Temporarily Suspended
Equity Calls for UK Personality Rights to Protect Performers From AI Replication
OpenAI Pauses Advanced Model Training Following Safety Concerns
×