Regeneration incentives key to pre-Budget report

26 Oct 00
Chancellor Gordon Brown's bid to encourage the private and voluntary sectors to invest up to £1bn in deprived areas will be one of the key planks of his pre-Budget report on November 8.

27 October 2000

Measures aimed at generating new business start-ups and private sector investment in unemployment black spots will be outlined when Brown delivers his review of proposals for the 2001 Budget to the House of Commons.

He said he would unveil measures to 'bring jobs and enterprise to those areas of the country that have not yet fully participated in the economic recovery'.

The chancellor was speaking at the launch of a report by the social investment task force, a panel of economic and social affairs experts.

The seven-strong committee is calling for firms to be granted community investment tax credits to encourage regeneration of run-down areas.

It also proposes a community development venture fund, which would help fund business start-ups, with matched funding provided by the government. Charity laws should also be changed to give the voluntary sector more freedom to invest in development projects, the report recommended.

Brown endorsed the findings and said the government would build on them. 'This is the time to say to every corporate leader in our country, take a look at investing in our high unemployment areas. They offer business new choices, new recruits and new markets,' he added.


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