Business Angel Condemns 'Dragons' Den' Tax Plan
NEWS RELEASE: ISSUED ON BEHALF OF MIDDLETON ENTERPRISES
Business Angel Jeremy Middleton, who has more than £10m invested in entrepreneurial companies, has hit out at Labour plans to impose a “Dragons’ Den” tax.
Party leader Ed Miliband has floated proposals to levy higher taxes on private equity firms.
Mr Miliband told the party’s annual conference that the days when all businesses are taxed and regulated equally should be over. Instead, firms will be judged according to how they make their money.
Mr Middleton, who runs Middleton Enterprises, labelled the plan as anti-business and detrimental to wealth creation.
“Many go-ahead businesses and entrepreneurs turn to business angels and private equity companies for financial support to help fund expansion plans or propel a new product or service into the marketplace.
“Business angels and private equity companies make a substantial contribution to the economic wellbeing of the UK. Their investments are crucial to sustaining job and wealth generation across the country, particularly at a time when banks are reluctant to lend to business.
“Investors, such as those on The Dragons’ Den*, should not be penalised through higher taxes for their financial patronage of entrepreneurs or business owners with well thought out strategies to develop their companies.
“This ‘Dragons’ Den’ tax would be disastrous for companies, which have ambitions and workable plans to grow their businesses, but do not have the financial wherewithal to do it without outside financial support.”
Middleton Enterprises Ltd is an investment company focusing largely on the North East with property investments and listed equities.
It also supports entrepreneurial businesses by taking a minority stake and offering strategic business advice to support growth.
Tanfield Foods Ltd (Consett), D-Line Ltd (North Shields), Business Impact Ltd (Team Valley), Cottages of Northumberland Ltd (Newcastle), and For Sale Signs Analysis (Jarrow), Beyond Digital, (Boldon), Below Value, an online estate agency, and the House Buyer Bureau (both Derby), and ECO Plastics, (Lincolnshire) are among the businesses in which Middleton Enterprises Ltd has invested.
*Dragons’ Den is a BBC programme in which budding entrepreneurs pitch their business ideas to five multi-millionaires looking to invest their own cash.
CONTACT: Helen Logan on 01325 363436
Notes to Editors:
Middleton Enterprises Ltd is a private investment company that has made a substantial contribution to the North East’s economy by investing in and providing business advice to entrepreneurial businesses.
During recent years, it has supported seven North East businesses, generally from start-up, usually taking a minority stake and offering strategic advice to support growth.
Jeremy Middleton was one of the founders of HomeServe plc in 1990, which represents the company’s core investment. A FTSE200 support services company, HomeServe has a market capitalisation in excess of £1.5bn.