Osborne promises early action to cut corporation tax - papers

George Osborne, Shadow Chancellor, on Saturday promised early action to cut the headline rate of corporation tax from 28p to 25p, but aides conceded the change might not fully take effect until April 2011.

According to the Financial Times, Mr Osborne confirmed the proposed cut - already announced - would feature in an emergency Budget within 50 days of a Tory election victory, but it might not apply until the start of the next tax year.

His promise came on the first day of the Conservative spring conference in Brighton, where David Cameron and his senior team are trying to convince the country - and some doubters in the party - that a Tory government would be "bold and radical". Full story...

THE POUND is under pressure on Monday as traders focus on the prospect that the General Election will produce a hung parliament that fails to tackle Britain's deficit, reports the Telegraph.

The sharp falls followed an opinion poll published in the Sunday Times showing that the Conservatives' lead has narrowed to just two percentage points over the Labour Party.

Experts reckon if that voting pattern were replicated on polling day - widely expected to be May 6 - Labour would win enough seats to lead a hung parliament in which neither of the main parties has a majority.

The prospect of a hung parliament has unsettled financial markets over the past week, as it casts doubt over whether there would be any agreement to cut Britain's record Budget deficit. Full story...

THE CHAIRMEN of every large listed company in Britain have been warned to justify executive pay packets this year or risk a "no" vote at their annual meetings, says the Times.

Aviva Investors, the fund managers that own about 1.5% of every company quoted on the FTSE All-share index, has written to 800 chairmen amid growing concern that companies are not showing enough restraint over the remuneration of their key people.

Aviva, whose investments were worth £25bn at last week's prices, said it expected executives' salary and bonuses to be "prudent, aligned to business strategy and performance over the long term". Aviva voted against company remuneration reports on more than 800 occasions last year. Full story...