Since 2010 we have made the Research and Development Credit more generous and easier to use – and support has risen from £1bn to almost £2.5 billion a year.
Now we want to go further, and look at how we can make our support even more effective – because my aim is not simply for the UK to have the lowest corporate tax rate in the G20, but also a tax system that is profoundly pro-innovation.
While it is important that the voices of workers and consumers should be represented, I can categorically tell you that this is not about mandating works councils, or the direct appointment of workers or trade union representatives on Boards.
Some companies may find that these models work best for them – but there are other routes that use existing Board structures, complemented or supplemented by advisory councils or panels, to ensure all those with a stake in the company are properly represented. It will be a question of finding the model that works.
What I have clarified today is we have been very clear we want workers’ representation on boards.
There are a number of ways in which that can be achieved. We are going to be consulting with business this autumn about how that can be achieved alongside other issues of corporate governance, and we will be working with businesses up and down the country to make sure that what we arrive at is the best model, the model that is going to work for everybody.