Stephen Farry stated: “Alliance has long championed the introduction of tax-varying powers to the Northern Ireland Assembly. Greater control over taxation would give our local institutions much greater potential to make variations in local policy, to do things differently, and to re-balance and to modernise economy. There is a groundswell of support for such powers from local economists.
“The release of the Calman Report in Scotland should re-ignite discussions in Northern Ireland in having such powers here. However, the debate should be broader than just variations in income tax but also include business taxes.
“Tax-varying powers do not necessarily mean higher taxes, rather they can relate to lower taxes. For example, a devolved Executive would be able to give targeted tax breaks to encourage economic activity, while accepting that there would be the cost of a consequent fall in revenue in the short-term. This was the ethos behind the local campaign for a differential rate in Corporation Tax.”
ENDS