Budget 2017: Corporation tax falling to 17 per cent by 2020

Chancellor Philip Hammond today confirmed that corporation tax will fall to 17 per cent by 2020 – the lowest in the G20.

The chancellor said "the UK needs a fair tax system" so that the UK becomes the "best place to start a business".

From April this year, corporation tax will fall to 19 per cent, Hammond said.

“From April this year, it [Corporation Tax] will fall to 19%, the lowest rate in the G20. In 2020 it will fall again to 17%” #Budget2017 pic.twitter.com/QnM6iQVrw2

— HM Treasury (@hmtreasury) March 8, 2017

The Centre for Policy Studies said the move will further boost the UK’s competitiveness, but added that the Labour Party has "publicly stated they would reverse this if in government and go even further, increasing the rate to 21.5 per cent, in order to fund spending amounting to £15bn per annum".