The government is to abolish the stamp duty it charges on shares on markets such as AIM, considered growth markets.

The news, announced by Chancellor George Osborne as part of a raft of measures to make Britain business-friendly, comes in addition to government's consultation on extending Individual Savings Account (ISA) eligibility to a wider range of small company shares.

'Many observers of the British tax system complain that is has long biased debt financing over equity investment. So today I am abolishing altogether stamp duty on shares graded on growth markets.

'From April next year, this will directly benefit hundreds of medium-sized UK firms, lowering their cost of capital and supporting jobs and growth across the UK,' said Osborne.

For the latest news and analysis on Budget 2013, click HERE