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Business News Wales
a day ago
- Business
- Business News Wales
UKHospitality Strengthens Executive Team with Dual Promotion
UKHospitality has announced that current CEO, Kate Nicholls OBE, is to step up to the new role of Chair, while current Deputy CEO, Allen Simpson, will transition to CEO. At the same time, current non-executive chairman, Steve Cassidy, will move to become President. The organisation said the move will enable Kate Nicholls and Allen Simpson to deliver a new, bolder strategy as it looks to turbocharge further growth and deliver even more for members and the wider sector. The new structure follows an 'extraordinary' period of growth since the organisation was formed. The details of the enhanced strategy will be announced in the coming months. UKHospitality said it will build on its achievements to date and will continue to deliver policy change, while growing the organisation's operational capacity in areas such as skills, as demonstrated by the recent launch of the Sector-based Work Academy Programmes (SWAPS) scheme, working with the UK Government to train new starters in the sector, in 26 regions. Kate Nicholls will be the organisation's first paid and full-time Chair. She will build on her work as a leading advocate and ambassador for the sector. The organisation said this 'natural' next step reflects the increased size and scope of the organisation and her position as a champion of the sector and its leading voice with successive governments. The changes will allow her to devote even more time to championing the sector in both the political and media landscapes, and deepen Government engagement and understanding of the sector and its challenges. The day-to-day leadership of UKHospitality will pass to Allen Simpson in his new role as CEO. He brings a wealth of experience across tourism and leisure and expertise in global investment and economic policy, UKHospitality said. The move follows 18 months as Deputy CEO, in which time he has led on ESG and conceived and delivered the Social Productivity Index to highlight the sector's worth to people and communities across the UK. Steve Cassidy, President of UKHospitality, said: 'UKHospitality has grown incredibly over the last few years in terms of membership, influence and impact. Having both a dedicated, full-time Chair and a CEO in place, UKHospitality can become even bigger and better, and go further, faster. Kate has transformed the organisation into a formidable force for the good for the sector, most notably during the worst crisis the industry has ever faced – Covid. Together, Kate and Allen, will continue to champion the industry and drive change for the benefit of our members and the economy of the UK.' Kate Nicholls OBE, Chair of UKHospitality, said: 'This new chapter reflects the impact, status and ambition of UKHospitality, which continues to be the vital voice for our broad and important sector. We have established strong and effective influence for the country's fourth largest economic sector and have a seat at the highest table alongside other core business groups on the macro-economic issues of today. 'Together we will work alongside Government on some of the most pressing developmental policies for this country and its key industries. Top of my list is to ensure Government continues to listen to our calls for sector support, following the £3.4 billion of costs that hit us in April, root and branch reform of the business rates system, as well as building longer-term momentum for the compelling rationale for creating a dedicated VAT rate for hospitality. 'I look forward to working ever-more closely in partnership with Allen as our team delivers a new and emboldened strategy, and maximum positive change for our sector.' Allen Simpson, CEO of UKHospitality, said: 'I'm excited to step up to CEO and to have the opportunity to build further on the team's significant body of work for this crucial industry, continuing Kate's momentum. My focus will be to drive growth, services and a platform for success, for – and with – our members. The economic context is shifting fast, and as a sector we need to take greater control of our own destiny.'
Business Recorder
03-05-2025
- Business
- Business Recorder
OICCI discusses its budget proposals with Aurangzeb
ISLAMABAD: The Overseas Investors Chamber of Commerce & Industry (OICCI) on Friday discussed its proposals for budget 2025-26 with the Finance Minister, Senator Muhammad Aurangzeb on video link. The OICCI Tax Proposals 2025-2026, included a phased reduction of the Corporate Tax Rate to 25 percent, gradual abolition of Super Tax, and reduction of turnover tax for regulated industries, like oil refineries. Additionally, it recommended declaring all major petroleum products as taxable supplies to enhance transparency and broaden the tax net. The OICCI's proposals also call for the rationalization of Sales Tax rates, which at 18% are well out of line with the regional benchmark, overhaul the withholding tax regime by reducing the number of rates, streamlining categories, and automating the taxation related processes to ensure efficiency and transparency. OICCI seeks key tax reforms to increase tax-to-GDP ratio Equally critical is the need for a comprehensive strategy to Broaden the Tax Base by leveraging technology and data analytics, ensuring fair contributions from all sectors, including agriculture, wholesale and retail trade, real estate and a large services sector. The OICCI also emphasized transparency as a key pillar of tax reform, publication of import data to curb under-invoicing, implementation of SWAPS (real-time reconciliation of withholding tax deductions eliminating the need for manual certificates and reconciliations) and enhanced visibility and transparency through the monthly publication of refund disbursements/settlements. The OICCI members have an accumulated pending tax refunds in excess of Rs 110 billion. These recommendations are critical for strengthening trust and accountability in the tax system the OICCI argued adding that it strongly advocates the establishment of a Federal Revenue Authority (FRA)—a unified, single taxation platform that provides one-window solution for tax collection and administration. The establishment of one federal authority will have a high impact on ease of doing business. The scope of revenue collection, the level of compliance and authority of enforcement, needs to be settled between the different revenue jurisdictions, and should not result in complexity for the taxpayer. The OICCI further proposed tax incentives to promote corporatisation, boost exports and encourage investments in green energy and sustainable initiatives. In the area of personal taxation, the OICCI has recommended measures to reduce the burden on salaried individuals and compliant taxpayers—such as abolishing the 10 percent surcharge, increasing the taxable income threshold, and allowing deductions for education, health, and housing expenditures. In parallel, the OICCI has submitted a brief proposal for the scope, structure, and deliverables of the soon to be established Tax Policy Board (TPB) under Ministry of Finance. Some of the proposals are as follows: Corporate Sector Tax Rationalization: (i) starting from 2025-26, the GoP may reduce Corporate Tax Rate gradually from 28% to 25% through an annual 1% reduction to align with other emerging economies (as announced in 2019); (ii) abolish the Super Tax gradually over three years (6% in 2025–26, 3% in 2026–27, and eliminate it in 2027–28) to reduce the financial burden on compliant taxpayers and improve business competitiveness; (iii)align the corporate tax rate for the banking sector with other sectors to promote fairness and equitable treatment across all industries; (iv) restoration of Commissioner's powers for issuing 100% exemption certificates u/s 153(4); and (v) relief from double taxation of Intercorporate Dividends (ICD); and (vi) remove tax on bonus shares. Sales Tax and Duty Adjustments:(i) Sales tax rates on goods should be reduced to 17%, with a gradual reduction of 1%, every year to bring it down to 15% to align with the effective regional average, and harmonize the provincial rates, accordingly; (iii) declare petroleum products as taxable supplies allowing input tax adjustments (energy sector); (iv) reduce tax on packaged milk to around 5% to encourage growth in Dairy sector, enhancing nutrition and affordability for general public; (iv) remove 5% regulatory duty on telecom power equipment, including batteries (Telecommunication sector); (v) restore the zero-rated regime for pharmaceutical sector to ensure affordability of healthcare;(vi) exempt duties and taxes on infrastructure necessary for 5G deployment (Telecommunication sector);(vii) restore zero rating of sales tax on local supplies under Export Facilitation Schemes (EFS); and (viii) reduce FED on aerated waters to 18% and juices to 15% (Beverage sector). Broadening Tax Base, Automation and Enhancing Transparency: All sectors to contribute to FBR tax collection (i) in relation to their size in the economy especially those in the Trade, Agriculture and Services sector; (ii) phasing out of FATA/PATA tax exemptions in 3 years; (iii) implement a robust Track & Trace system and enforce strict penalties on illicit tobacco trade (Tobacco sector), which incur a loss in excess of Rs 300 billion of national exchequer (Tobacco sector);(iv) monthly disclosure of list of people/organisation getting tax refunds from FBR thereby enhancing transparency. The OICCI members pending tax refunds have exceeded Rs 120 billion; (v) Customs authorities to publish import data to curb under-invoicing, improving accountability and transparency;(vi) demonetization of Rs 5,000 notes to discourage cash economy; (vii) digitize and integrate tax return filing processes with other governmental data; and (viii) remove chemical dealers from the scope of Section 236G, already taxed under Section 233 (Chemicals/Pesticide sector)Investment, Sustainability, and Local Manufacturing Promotion: Investment, sustainability and local manufacturing: (i) provide a 10% tax credit or base rate reduction to first time listed companies to boost corporatisation; (ii) promote export from new sectors through a 20% tax credit on incremental exports for 5 years; (iii) introduce Tax credit to promote sustainability initiatives including green energy and green finance investments; (iv) increase depreciation by 25% for locally manufactured machinery supporting domestic production and reducing import dependency;(v) Incentives for using locally sourced raw/packaging materials replacing imported items; and (vi) incentivize local cultivation of strategic agricultural crops (e.g., Palm Oil, Oilseeds) to substantially reduce import. Relief and Compliance Facilitation for Individuals: (i) abolish 10% surcharge ('tax on tax') on individuals earning Rs 10 million or more on compliant taxpayers as it places an unjust burden on regular filers;(ii) increase taxable income threshold to Rs 1.2 million, with mandatory filing of Tax return with Rs1,000 token tax for incomes above Rs 600,000; (iii) restore tax credit on investments in mutual funds, IPOs, and life insurance;(iv) restore deductible allowances for housing loans, education, and medical expenses; (v) limit taxation of company contributions to Provident Fund to 10%, eliminating the Rs 150,000 cap; and (vi) specific exemption of CVT at 1% on foreign assets for expatriate Pakistanis returning and foreign nationals becoming resident employees. Copyright Business Recorder, 2025
