Michael Spencer

Michael Alan Spencer (born 30 May 1955, Kuala Lumpur, Malaysia) is a British businessman; the chief executive of ICAP plc, the world's largest interdealer broker. He is also currently the owner of spread betting firm City Index.

In the Sunday Times Rich List 2008 ranking of the wealthiest people in the UK he was placed 62nd with an estimated fortune of £1,150 million.

Conservative Party donor and member

Spencer was Conservative Party treasurer from February 2007 until he stepped down in October 2010.

Exerting pressure for lower taxes

In November 2009 Spencer was quoted in an interview with the Financial Times that he was "hopeful" of even deeper cuts in corporation tax than George Osborne had already signalled, from 28 per cent to 25 per cent. "I am hopeful that, over the next parliament . . . we will get corporation tax down towards the 20 per cent level."

Spencer told the FT he was speaking in a personal rather than an official party capacity. The FT however pointed out that "his call for a further 5 per cent cut - costing an estimated £4.8bn, without allowing for any offsetting increase in economic activity - chimes with signals sent by the Tory leadership".

Spencer has consistently spoken out strongly against the 50p tax rate brought in by the last Labour government. In the same interview he said: "I believe and I hope and I expect that that will be reversed in the foreseeable future."

He has also described the proposed Tobin tax as "deluded".

Keeping the City sweet for the Tories

Before the last election the Tories and David Cameron were wary of being seen to be giving too many concessions to big business, against the backdrop of public outrage about greedy bankers. Spencer however told a meeting of business chiefs that 'the City should not be unduly concerned by his party leader's rhetoric on bankers. The Conservatives were "very, very well aware" of the importance of the City and "realise it has to be nurtured", he said.

Telegraph leader writer David Hughes blogged: "My hunch is that Osborne is using Spencer as an outrider to re-assure the City in particular that regardless of the state of the public finances, taxes will be lower under the Tories – and in particular that the hated 50p rate that kicks in on April 1 next year will be short-lived. We shall see."