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Give Scotland tax free status says LSE chief

The head of the London Stock Exchange has called for Scotland to become a tax-free zone for investors wanting to fund start-up companies. Xavier Rolet, who took over as chief executive in the summer, has also suggested the creation of an innovation fund of up to £300 million, financed by the banks. Rolet outlined the measures as part of an overhaul of the tax system that he wants Britain to introduce in order to stimulate growth.
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Britain, he said, suffered from a Europe-wide failure to properly invest in ideas and the development of small companies. Politicians were "too focused on job losses rather than job creation". He said: "The financial services industry does not have a well developed mechanism to fund start-ups. It is the number one cause of unemployment in Europe.  "If you invest in debt you get a tax break, so we should not be surprised to be in the middle of a debt-induced crisis." In contrast, those who invested in equity are penalised by the tax system, he said. "We have to radically rethink the tax code to shift the burden away from equities."

Read the full article at Scotland on Sunday

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