Bank shares drop as John Healey prepares to raise taxes on the banking sector in the budget – business live
Source: The Guardian ·
Rolling coverage of the latest economic and financial newsJohn Healey poised to raise taxes on banks in budgetBritish banking stocks have eased following last night’s reports that John Healey will tax the banks in the budget, says Angeline Ong, senior technical analyst at investing and trading platform IG“A UK bank tax risk is now a base case. If it is confirmed on 28 October, it’ll be the size…
From the source
Good morning, and welcome to our rolling coverage of business, the financial markets, and the world economy. Britain’s banks may be ‘part of the jewel’ in the UK economic crown, as chancellor John Healey put it yesterday, but that won’t protect them from being hit in this month’s budget. John Healey is poised to raise the tax take from Britain’s banks in his 28 October budget, the Guardian understands, as the chancellor looks to fix the damage inflicted on the public finances by war in the Middle East. As my colleagues Heather Stewart, Jessica Elgot and Kalyeena Makortoff reported last night, Healey has decided to tap the financial sector for additional revenue. One option understood to be under discussion – reversing cuts to the bank surcharge made by Jeremy Hunt – would raise upwards of £2bn a year. Industry figures believe that will probably mean raising the surcharge back to 8%, from 3% at present, to help bolster the government’s fiscal headroom (which has been eroded by the…