15,000 contractors win tax holiday

More than 15,000 contractors are being allowed to delay tax payments after agreeing deals with HM Revenue & Customs.

The government confirmed today that 60,000 firms have brokered extra time to pay tax bills worth £1bn. One in four of the companies work in the construction industry.

The payment extensions have been agreed using the Business Payment Support Service which was launched last November.

Contractors can call up the Revenue and get a decision on whether tax can be deferred within ten minutes.

Stephen Timms, Financial Secretary to the Treasury said: "I'm delighted that HMRC's Business Payment Support Service is proving such a huge success, already providing a cashflow boost worth over a billion pounds to UK businesses.

"This service is delivering the kind of tangible support that business needs at this time. I would urge any business anticipating or experiencing difficulties paying their tax to call the helpline and get a quick response tailored to their specific needs."