Chamber urges ministers to scrap tax plans.

THE Government has been urged to scrap plans to increase costs on companies as a survey highlighted "major concerns" for manufacturers.

The latest quarterly survey by the Lockwood-based Mid Yorkshire Chamber of Commerce reported an increase in the number of firms reporting improved turnover and cashflow. It also reported an increase in the number of companies across Kirklees, Calderdale and Wakefield expecting to boost profits and recruit more staff.

Chamber director Andrew Choi said price pressures and competition remained a concern - and while the service sector continued to recover, weak markets and higher raw material costs meant manufacturing and exporting remained a major worry.

He said recovery would only be sustained by nurturing business.

"It is disappointing that the Government has reaffirmed its decision to go ahead with increases in National Insurance contributions," said Mr Choi.

"We continue to advocate that these increases should be scrapped, together with any other plans for further company tax which could stifle business growth."