Financial News

• Brown dismisses housing crisis fears (09 04 2008 10:15)
• Mortgage hope offered by bank (09 04 2008 10:15)
• Consumer morale 'falls again' (09 04 2008 10:15)
• Bristol & West withdraws deals (09 04 2008 10:15)
• Retirees feel 'unhappy due to no longer working' (09 04 2008 10:15)
• Severn Trent to be fined £36m (08 04 2008 04:15)
• Brown to announce first time buyers help (08 04 2008 04:15)
• UK bank details 'for sale by thieves' (08 04 2008 04:15)
• Last 100% mortgage to disappear (08 04 2008 04:15)
• High earners 'shut out of market' (08 04 2008 04:15)

Subscribe!

BBA slams Budget

The British Bankers' Association (BBA) has criticised yesterday's Budget for neglecting the needs of UK business.

Among the points of contention is chancellor Alistair Darling's plans to increase the tax burden of non-domiciles - which include wealthy foreign businessmen.

"[We] would have preferred the government to take a step back and submit its entire package of proposals for detailed consultation, as we remain concerned that the effect of the [tax] could be damaging to UK competitiveness," the BBA said in a statement.

It has been suggested that the executives, faced with the extra burden, would move their businesses abroad to a country with more favorable tax conditions.

The association also criticised the government's plans to introduce a national 'kitemark' for mortgages, which would allow customers to more easily differentiate between loans offering good value for money and loans which did not.

"By creating a gold standard the chancellor risks stigmatising mortgages that do not reach the standard," the statement continued.

"For example, this could damage buy-to-let and second mortgages."

According to the BBA, banks supply two-thirds of new mortgage lending in Briton, equating to £240 billion of loans.

Send this article to: