INDUSTRIAL INFRASTRUCTUTE

4.

Britain has:

UNCLASSIFIED

-

a highly developed industrial infrastructure

modern communications

- a skilled and adaptable labour force

the prospect of self-sufficiency in energy at least through

the 1980's

sophisticated financial and commercial services

excellent educational facilities and close constructive

relations between industry and institutions of higher

education.

INCENTIVES TO INVESTMENT

5.

To encourage new investment and the creation of new jobs in areas

of Britain where unemployment is greatest, for example because of

the contraction of older industries, the Government makes available

grants on a virtually automatic and tax free basis to encourage new

industrial development. Further discretionary assistance may be

available to particularly worthwhile projects in these areas and

elsewhere. In some areas new factories are available for rent on

advantageous terms.

TAXATION

6.

Despite the prevailing contrary impression, the general level

of taxation in Britain is in line with the European average. Tax

reliefs available to encourage companies to invest and expand mean

that the effective rate of UK taxes on company income, if Advance

/Corporation

UNCLASSIFIED

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