Improve IT to boost economy, says Labour

According to Sage Group, the government could generate billions in economic growth by helping small businesses upgrade their technology and IT systems.

Companies receive tax benefits when they invest in factories and equipment.

But these do not apply to spending on critical areas such as new software.

Sage, one of the largest providers of accounting software, is calling for the extension of tax breaks to investments in technology.

The company warned that the UK risks missing out on the opportunity to use innovative artificial intelligence to improve its business operations.

Innovation: Sage calls for extension of tax breaks to technology investments

Aaron Harris, Sage’s chief technology officer, wrote in The Mail on Sunday that this would “hamper the UK’s growth, competitiveness and ultimately its ability to become a science and technology superpower”.

Sage’s research shows that the accountancy sector alone could contribute an additional £2 billion to GDP and create 19,000 new jobs over the next three years if AI is implemented.

Harris said the government “needs to give businesses more confidence to invest in future growth.”

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