A new low-tax investment zone with relaxed planning rules could be set up in Yorkshire

Premier Liz Truss is seeking to create dozens of low-tax investment zones across the country

Prime Minister Liz Truss is keen to roll out dozens of such zones, where businesses will be offered a range of tax breaks and planning rules will be relaxed, in a bid to generate additional investment and spur economic growth.

South Yorkshire Mayor Oliver Coppard’s office is looking to work with the government to establish one of these areas, but has yet to reveal a preferred location.

In a report, the Labor mayor’s office said businesses could benefit from tax cuts, developers could take advantage of a simplified planning system to complete projects faster and the government could provide additional funding for infrastructure.

He added: “Investment Zones have the potential to drive growth in our key growth centers by helping to unlock additional investment, attract new businesses to the region and help existing businesses grow faster. .”

South Yorkshire is one of 38 areas where political leaders plan to submit an expression of interest to the government before the October 14 deadline.

But the mayor’s office has been told that new legislation will need to be passed before the zones can be fully rolled out.

The government has said it will set up these low-tax areas where they will have “the greatest impact on housing growth and supply” and will “particularly support the regeneration of undeveloped and underdeveloped areas”. developed”.

But he also said political leaders must show that introducing a zone will not displace businesses and developments in surrounding areas.

Speaking at the Conservative Party Conference earlier this month, Chancellor Kwasi Kwarteng said the scheme will ‘enable local areas to do things differently’.

He said, “We will liberalize planning regulations, free up land and accelerate development.

“We will reduce taxes for businesses in these areas.

“We will accelerate tax relief for new structures and buildings.

“We are going to reduce investments in factories and machinery.

“We are going to cut taxes, which prevent businesses from hiring and developing their workforce.

“This is an unprecedented package of incentives for businesses to invest, build and create jobs across the country.”

However, several environmental groups have raised concerns about the proposed relaxation of planning rules.

The National Trust said areas should not be “devoid of nature or historic character” and that people should continue to have a say in developments that affect them.


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