U.K. releases 2012 budget

The U.K. Treasury released its 2012 budget, which includes provisions to reduce the corporate tax rate in 2012 from 26% to 24%, with additional 1% decreases in 2013 and 2014. Other provisions that could affect the U.K. life sciences industry include a L100 million ($158.3 million) fund to improve university research facilities, as well as the implementation of previously proposed changes to the Enterprise Investment Scheme (EIS), which offers tax reliefs to investors who purchase new shares in smaller companies. Starting in April, the annual investment limit for individuals under EIS will increase to L1 million ($1.6 million) from L500,000 and the annual investment limit in qualifying companies will increase to L5 million ($7.9 million) from L2 million. Additionally, the thresholds for qualifying companies under EIS would be increased to 250 employees from 50, with gross assets of L15 million ($24.4 million), up from L7 million. ...