Another government “green tax” initiative is soon to hit many unsuspecting firms with huge fines. Companies who use £500k pa of energy costs must register by the end of September 2010 for their energy use or face fines up to £45,000.
Never heard of the CRC? [private_basic]You are not alone. Of the 4,000 businesses estimated to “qualify” for this scheme, only 1,229 have registered (Sunday Telegraph) which means another huge amount of money becoming due when the businesses are fined after 30th September 2010 for not registering.
The scheme is meant to encourage businesses using more than 6,000 megawatt hours of energy a year to reduce their energy use. They will have to buy permits for every ton of greenhouse gas they produce which will cost an average sized business £38,000 per annum and could reach £100,000 per annum for larger firms.
All companies energy use will be compared and those who achieve the best reductions will receive bonuses funded by companies with the worst results.
Who do we think is going to end up paying these charges – WE ARE – the end consumers who are already struggling daily to make ends meet.
When will this government realize that with all their spending cuts, the huge increase in Tax investigations, the personal tax burden of small businesses at its highest for many years, that they cannot keep putting hidden burdens on business as an underhand way to raise revenue. We are quickly coming to a point that businesses will not be able to function at all with all the red tape, regulations and fines that apply now.
I thought things would be different under the new government but it seems they are set on destroying small businesses and taxing, with more schemes like the CRC with dubious environmental benefits, them out of existance.
We are still in a recession. Why doesn’t Cameron understand he needs to encourage businesses to grow, not bleed them until they fail. With civil servants facing job cuts, where the hell does Cameron think the new jobs we so urgently need are going to come from?
Get a grip Cameron. You need successful businesses to grow. Take a longer term view of things and stop raising stupid taxes and imposing fines on unsuspecting businesses. We are almost back to the desperation of Henry VIII with his screwing every single person in the country, rich and poor alike, to fund his ridiculous and unsuccessful wars against the French.
This is the 21st Century (last time I checked) but it seems government never learns from experience.