UK’s Hunt Makes Full Expensing Investment Tax Relief Permanent

The UK’s “full expensing” regime, a tax break for businesses which invest, will be made permanent, Chancellor of the Exchequer Jeremy Hunt says in Autumn Statement.

The policy, originally designed to last for three years, followed the pandemic-era “super deduction,” introduced in 2021 to drive business investment in the aftermath of Covid-19 lockdowns.

But economists complained that because full expensing was time-limited, it was simply bringing investment forward rather than encouraging companies to make lasting spending commitments.

“If we are to raise productivity, we need to increase business investment further,” Hunt said. “This is the largest business tax cut in ...