'Stop throwing shade' - the woman trying to stop firms leaving the UK
British people need more incentives to invest in big firms listed in the UK, Dame Julia Hoggett, boss of the London Stock Exchange, says.
The London Stock Exchange (LSE) is grappling with the exodus of numerous major firms choosing to list their shares on US markets instead of domestically, a trend that could weaken the UK economy, according to Dame Julia Hoggett, the LSE's boss. Dame Julia argues that the government must offer more attractive incentives to encourage investment in the UK stock market to prevent this continued outflow.
Over the past few years, a significant number of prominent companies, including Just Eat, Tui, and Flutter, have either delisted or moved their listings to other countries. Dame Julia emphasizes the need to "stop throwing shade at ourselves as a nation" and highlights the role of negative sentiment towards the UK market, which has often been exaggerated, in driving firms away.
Dame Julia suggests potential solutions such as eliminating the 0.5% tax that external Britons pay when buying UK shares and implementing tax credits for domestic investors, both of which were previously in place until 2016. The Confederation of British Industry (CBI) has also called for urgent action, advocating for lighter regulation, better marketing, and investor incentives to curb the exodus.
However, the government has not yet indicated whether stock market reforms will feature in its upcoming Budget.
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