Chancellor George Osborne outlined plans for 21 zones across the UK in his Budget delivered on Wednesday. The Royal Docks in Newham had long been earmarked for the tax breaks and relaxed planning regulations that the zone brings, and business chiefs believe Osborne has made a wise call. Colin Stanbridge, chief executive of the London Chamber of Commerce and Industry, said: “Should the government engage properly with the business community on their development, we expect them to be a great success. “There is a strong case for enterprise zones in the capital, and this was rightly recognised by the Chancellor. “London is well placed for an enterprise zone which is home to some of the most deprived communities in the UK and they could be among the most productive due to their close proximity to established, thriving industries.” The enterprise zones will offer a business discount rate worth up to £275,000 over five years for firms that move into the area over the course of this parliament. There are also proposals to simplify planning processes, and a pledge to introduce superfast broadband in the area. For at least 25 years, all business rates growth within the zone will be retained by local authorities to support their economy. Thames Gateway London Partnership Chief Executive Ros Dunn added: “We believe the Government has clearly heard our call for the Thames Gateway to become an economic development zone. “We are delighted that the Mayor has chosen to take the first step in making this a reality by choosing the Royal Docks in London Thames Gateway as his preferred site for London’s Enterprise Zone. “We welcome the announcement of other measures to support growth and enterprise in Budget 2011 and that they appear to be applied to all parts of the country including the greater South East.”