Corporation tax rise branded a 'historic mistake’ Former Conservative ministers including Jacob Rees-Mogg, Kit Malthouse and Simon Clarke have criticised the Government’s decision to increase corporation tax with Rees-Mogg describing the move as “a major blunder” that fails politically and economically. He added: “Increasing corporation tax from 19% to 25% at a period when there is inflation in the system already is actually going to make things more inflationary. What we are doing at the moment is risking shrinking the economy, encouraging businesses to leave and go and set up elsewhere, and not having the money that we need for public services.” But Treasury minister Victoria Atkins defended the corporation tax rise, telling MPs: “The rate increase which took effect from this year and which this Bill maintains for financial year 2024 is forecast to raise over £85bn in the next five years. That will of course make a vital contribution to ensuring that our debt continues to fall as part of the Prime Minister's five pledges, whilst also allowing us to continue to invest in our much cherished public services.” Many motorsport businesses rely on heir profits to be able to reinvest and grow. The loss of more profit will hurt their ability to remain competitive in an international market.