UK banks brace for ‘windfall tax’ to help plug £40bn hole in public finances
by Kalyeena Makortoff Banking correspondent from Economics | The Guardian on (#64WY0)
No commitment yet to cut banking surcharge after corporation tax U-turn, with sector facing headline tax rate of 33%
UK banks are steeling themselves for a windfall tax by stealth as the new chancellor tries to plug a 40bn hole in the public finances.
City lobbyists at UK Finance are concerned that banks will not be compensated for Jeremy Hunt's U-turn on corporation tax, which will now mean the levy rises from 19% to 25% next year.
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