Survey BB-21 :
In the run up to the budget, this survey asked panellists for their views on various aspects of taxation and also the extent to which they plan to expand in terms of investment and employment.
Question Number Question Q1 In order to reduce inflationary pressure in the economy, I would prefer to see an increase in income tax to further rises in interest rates" Q2 Over the next six months, is the number of employees in your firm likely to: Q3 A few % points reduction in corporation tax or an equivalent increase in the threshold would: Q4 A few % points reduction in capital gains tax or an equivalent increase in the threshold would Q5 Over the past six months, how have you revised your investment plans for the year 2000? Q6 How does your planned expenditure on IT over the next 2 years compare with actual expenditure during the past two years? Q7 What was the strongest influence upon your decision to borrow over the past six months? Q8 To what extent is your business constrained by skill shortages? Q9 To what extent is your business constrained by a lack of finance? Q10 To what extent is your business constrained by low market demand? Q11 Over the last 3 months, has your business:- Q12 Over the next 3 months, do you expect your business to:
(1) In order to reduce inflationary pressure in the economy, I would prefer to see an increase in income tax to further rises in interest rates"
Response Total answers: 80 %
1 Strongly agree 13.8%
2 23.8%
3 20%
4 21.3%
5 Strongly disagree 21.3%
(2) Over the next six months, is the number of employees in your firm likely to:
Response Total answers: 80 %
1 Increase significantly 5%
2 Increase moderately 37.5%
3 stay the same 46.3%
4 fall moderately 7.5%
5 fall significantly 3.8%
(3) A few % points reduction in corporation tax or an equivalent increase in the threshold would:
Response Total answers: 80 %
1 greatly assist the business 18.8%
2 mildly assist the business 37.5%
3 have no effect upon the business 43.8%
(4) A few % points reduction in capital gains tax or an equivalent increase in the threshold would
Response Total answers: 79 %
1 greatly assist the business 7.6%
2 mildly assist the business 24.1%
3 have no effect upon the business 68.4%
(5) Over the past six months, how have you revised your investment plans for the year 2000?
Response Total answers: 81 %
1 Decreased more than 10% 17.3%
2 Decreased up to 10% 7.4%
3 unchanged 43.2%
4 Increased up to 10% 13.6%
5 Increased more than 10% 18.5%
(6) How does your planned expenditure on IT over the next 2 years compare with actual expenditure during the past two years?
Response Total answers: 80 %
1 Decreased more than 10% 16.3%
2 Decreased up to 10% 12.5%
3 unchanged 32.5%
4 Increased up to 10% 18.8%
5 Increased more than 10% 20%
(7) What was the strongest influence upon your decision to borrow over the past six months?
Response Total answers: 78 %
1 Need to finance new investment in the UK 15.4%
2 Need to finance new investment in international 1.3%
3 Financing the building up of stocks 11.5%
4 Unexpected low profitability 19.2%
5 No significant borrowing undertaken 52.6%
(8) To what extent is your business constrained by skill shortages?
Response Total answers: 80 %
1 Highly 8.8%
2 27.5%
3 18.8%
4 28.8%
5 Not at all 16.3%
(9) To what extent is your business constrained by a lack of finance?
Response Total answers: 81 %
1 Highly 17.3%
2 28.4%
3 11.1%
4 22.2%
5 Not at all 21%
(10) To what extent is your business constrained by low market demand?
Response Total answers: 81 %
1 Highly 24.7%
2 17.3%
3 23.5%
4 18.5%
5 Not at all 16%
(11) Over the last 3 months, has your business:-
Response Total answers: 81 %
Expanded significantly (more than 10%) 11.1%
Expanded somewhat (between 5% to 10%) 25.9%
Remained static 45.7%
Declined somewhat (between 5% to 10%) 8.6%
Declined significantly (more than 10%) 8.6%
(12) Over the next 3 months, do you expect your business to:
Response Total answers: 81 %
Expand significantly (more than 10%) 17.3%
Expand somewhat (between 5% to 10%) 45.7%
Remain static 21%
Decline somewhat (between 5% to 10%) 8.6%
Decline significantly (more than 10%) 7.4%
