Tom Porter

Dialogue between private equity and the government over carried interest has helped bring a positive outcome for the industry, according to the industry's Swedish trade body.

The government has closed a $1bn tax loophole used by firms to write off portfolio companies’ interest payments, vowing that firms will not 'escape their social responsibility'.

Firms will benefit from reductions to income and corporation tax announced by UK Chancellor George Osborne, as well as incentives to encourage investment in small businesses.

Henry Kravis and George Roberts each earned a total of $94m last year, which included a 50% increase in carry payments relative to last year's figures.