Firms in Wirral's recently-created enterprise zone will benefit from 100% capital allowances on new plant and machinery, Chancellor George Osborne revealed in his Autumn Statement.
In March, Mr Osborne said the Liverpool Waters and Wirral Waters schemes either side of theMerseywould form an enterprise zone. The zones will offer 100% business rates relief for the first five years and will also benefit from simplified planning restrictions and Government-supported superfast broadband.
Mr Osborne offered a further incentive for companies looking to relocate to the zones in his Autumn Statement, saying they would qualify for 100% capital allowances on investment in plant and machinery.
The allowance mean the full cost of the investment can be written off against a single year's profits.
Catherine Fairhurst, a tax partner at accountants Ernst & Young inLiverpool, welcomed the move.
"Tax depreciation of 100% of the expenditure on plant and machinery will now be available rather than the normal rate of 18% or 8% in some cases," she said.