Osborne handed boost as UK rating improves

Chancellor George Osborne welcomed the findings as the country climbed two places from 10th position last year.

The report said that reforms implemented from June 2013 to June 2014 included changes to speed up tax registration to make starting a business easier.

It also pointed to a reduction in the corporation tax rate but on the down side noted there had been an increase in landfill tax.

Mr Osborne said on Twitter: “Great to see the UK rising up the World Bank global rankings for ease to do business. Long term economic plan working but more to do.”

It is the latest international endorsement for the UK, with the International Monetary Fund earlier this month saying it remained on course to outpace the rest of the world’s major advanced economies this year with growth of 3.2%.

The World Bank’s table was once again topped by Singapore with the United States one place ahead of the UK in seventh.

Kaushik Basu, senior vice president and chief economist of the World Bank, said: “An economy’s success or failure depends on many variables; among these, often overlooked, are the nuts and bolts that facilitate enterprise and business.

“By this I mean the regulations that determine how easy it is to start a business, the speed and efficiency with which contracts are enforced, the paperwork needed for trade, and so on.

“Making improvements in these regulations is virtually costless, but it can play a transformative role in promoting growth and development.”

Business Minister Matthew Hancock said: “The UK is climbing the global economic rankings and is now one of the best places in the world to do business. This matters because being an easier place to do business helps create jobs.”