Rishi Sunak's budget brings first corporation tax rise since 1974

Chancellor applies biggest tax increase to businesses but sweetens the pill with 25bn in investment

• Budget 2021: key points at a glance

Rishi Sunak has announced the first corporation tax rise in 47 years, but sought to soften the blow with 25bn in investment incentives for British businesses.

The headline rate of corporation tax, the tax businesses pay on their profits, will rise to 25% for company profits over 250,000 from April 2023, the chancellor told parliament in Wednesday's budget.

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