Business department raised issue of patent box benefit after meeting that took place last June, documents show. Kemi Badenoch instructed her department to write to the Treasury about a potential tax break after an intervention from Dyson, documents have revealed.
In the minutes of a meeting during her time as business secretary last June, seen by the Guardian, it said Ian Robertson, a board member at the vacuum cleaner and air-filter maker, lobbied Badenoch on the patent box tax benefit that had “worked very successfully but now that corporation tax has risen but the patent box has not losing [sic] its effectiveness”.
James Dyson himself was present at the meeting, where he personally asked Badenoch to address rises in corporation tax. According to the note from the meeting, released under the Freedom of Information Act, Badenoch promised to look at the concerns and the department followed up with a note to the Treasury.
The minutes from the meeting said Robertson “noted the percentage allowance [of the patent box tax] should be increased. SoS noted she would look into this matter.”. The exchange was noted to be followed up with an ACTION, with the secretary of state’s private office to “get note for SoS on the patent box”.
Emails released by a freedom of information request show that the Department for Business and Trade then contacted the Treasury on this specific issue. When James Dyson himself raised corporation tax with Badenoch, the document says he was “noting that the rises lead to a reduced ability for Dyson to invest further. JD [James Dyson] outlined the reporting requirements on Dyson are also almost the same as with a listed company and this should not be the case”. Badenoch’s response to this was to tell him that corporation tax was a Treasury policy.
