Long term interest rates are at their lowest for over 40 years. Mortgage rates are at their lowest for 33 years. And this year the budget will be in surplus. Foundations for growth Stability is the essential foundation, but it is only the foundation. For an economy fit the 21 st century we must also strive for the higher levels of productivity and investment that are the foundation of a modern, knowledge based economy.
Government has a role here.
When we came into government, corporation tax for companies was 33 per cent. And we are cutting taxes for small companies too. When we came into government, small companies tax was 23p. From April over 350,000 companies will benefit from the further reduction to 20p, including some smaller companies listed on AIM and the main market. But these are tax assurances not just for a year.