The Conservative Party in Britain is proposing a radical corporate taxation model based on Ireland's model.
Describing the United Kingdom's regime as a "lethal and toxic" mix of tax and burdensome regulation, former minister John Redwood will today unveil measures he believes will stimulate the British economy.
Mr Redwood said Britain should follow the Irish example by cutting business taxes to spur growth with the proceeds invested in public services.
John Redwood
"The idea is to reform and lower capital taxes and company taxes so that we get far more growth in the economy," he said.
Labour have branded the tax-cutting measures a "lurch to the right".
Confronting Labour's claims that tax cuts would be funded by slashing spending on public services, Mr Redwood said: "We have looked very closely at the Irish experience, and since the late 1980s in Ireland public spending has gone up 220 per cent compared with 120 per cent in the UK because they have had a massive four-fold increase in tax receipts.
"Why have they got all that extra tax? Because they cut capital taxes, they cut business taxes. It is the way to go, it is the way to give you more money for public spending."
He also said the threshold for the 40 per cent income tax rate was too low.
Mr Redwood, a former Tory leader candidate, was appointed by David Cameron to head the Tory's review on economic competitiveness but the party leadership is not bound to accept the findings.