The rate of corporation tax paid on company profits will increase to 25% in 2023.
He told MPs: “Even after this change the UK will still have the lowest corporation tax rate in the G7 – lower than the United States, Canada, Italy, Japan, Germany and France.”
A taper above £50,000 will also be introduced to ensure only businesses with profits of £250,000 or greater will be taxed at the full 25% rate.
Small businesses with profits of £50,000 or less will have a small profits rate, maintained at the current rate of 19%. “This means around 70% of companies – 1.4 million businesses – will be completely unaffected.”