“It is clear that the Treasury understands business concerns that the proposed CGT changes announced last October affect entrepreneurs adversely. There are likely to be targeted measures aimed at certain groups but we are not expecting the fundamental approach to change.
“The proposed Capital Gains Tax reforms raise a significant amount of money. As things stand businesses will be paying an extra £900 million a year in tax and with the public finances under severe pressure we do not believe that the Treasury has much room to manoeuvre. The test will not be the number of initiatives that are announced to stimulate enterprise but by how much the £900 million is expected to fall too. We want a significant cut in the proposed tax, not just smoke and mirrors."