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UK Tech Founders Warn Reeves Budget Could Derail London IPO Plans

The warning lands ahead of a 26 November budget that could raise taxes.

Overview

  • A letter coordinated by Innovate Finance’s Unicorn Council urges the chancellor to avoid measures that would sap confidence, including any exit tax on wealthy individuals.
  • Signatories include Revolut, Funding Circle, OakNorth, ClearScore and Quantexa, representing firms collectively valued at well over $100bn.
  • The founders call for reversals to recent capital gains and inheritance tax changes, arguing they would deter investment and talent.
  • They cite the cut to Business Asset Disposal Relief’s lifetime limit from £10m to £1m as a key factor reducing the UK’s appeal to entrepreneurs.
  • Rachel Reeves has courted the sector with roundtables and a Downing Street reception, as she prepares a 26 November budget that is expected to lift taxes and has prompted broad lobbying from banking and gambling groups.