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CPA tells Brown to raise tax breaks on brownfield sites

THE CONSTRUCTION Products Association is calling on chancellor Gordon Brown to push through business incentives to encourage more development of brownfield sites.

The association wants the chancellor to allow owners of brownfield land to offset upfront costs of cleaning up contaminated sites against corporation tax liability.

Mr Brown will unveil his preBudget report on December 5 and is due to respond to the Barker Report on the undersupply of housing by the end of the year.

In his letter to Mr Brown, association president Roy Harrison said: 'I would urge you to respond positively with financial provision for higher levels of social housing and through a more effective planning system which will release land where it is needed for additional private housing.' The Construction Confederation's main plea to the Treasury has already been answered ? the introduction of the new CIS scheme was delayed until April 2007.

But the confederation also wants the chancellor to cap landfill tax as it would inhibit the development of brownfield sites.

In addition it wants an exemption from stamp duty for deprived areas to allow developers to assemble plots large enough for housing and commerce and to encourage regeneration.