Banks poised to escape tax rises in Rachel Reeves’s budget

UK bank shares rise after reports, with chancellor wanting sector to remain competitive to help economic growth

The chancellor has decided against increasing taxes on banks in this month's budget, according to reports, which sent UK bank shares higher on Thursday.

Shares in the high street bank NatWest were up by 2.5% and the rival Lloyds climbed by 2.3%, putting them among the top risers on London's FTSE 100.