Cut stamp duty on shares, Chancellor Rachel Reeves told
by City & Finance Reporter · Mail OnlineThe Chancellor has been urged by the Investment Association (IA) to scrap stamp duty on shares to boost the stock market.
Investors must pay 0.5 per cent tax if buying UK-listed stock, but not foreign-listed firms.
Critics have long argued that the levy acts as a deterrent to putting money into the London market.
The IA said it was one of the highest such taxes in the world.
The body, which represents firms managing £9.1trillion of assets, restated its position that the tax should be abolished as an incentive for pension funds to boost their allocations to UK-listed equities.
By scrapping it, Ministers would be 'enhancing the attractiveness of UK equity markets to corporates and providing wider benefits to the economy', it said.
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