The UK is currently a more attractive jurisdiction for inbound, throughbound and outbound M&A than it was in 2008; the group effective tax rate for UK targets and acquirors is now more internationally competitive. This can largely be attributed to the overhaul of the UK's system of taxing foreign profits, and is perhaps also the result of a generally more business-friendly approach by the government. Set against this is the continued tendency towards complexity in the UK legislation. Although positive steps have been made over the past three years, there is still a long way to go if the government is to achieve its aim of making the UK the most competitive tax regime in the G20.
