Healey's Bank Tax Raid Would Hit Every Borrower, Saver And Pension In UK

The comments from Nigel Green come as senior banking executives signal that Chancellor John Healey is preparing to raise taxes on the sector in his first Budget on 28 October, with lenders' shares falling as markets brace for the hit.

The sector is hardly undertaxed. Tax paid by banks rose 8.5% to GBP 39.1bn in the 2025/26 tax year.

On top of standard corporation tax, lenders pay a 3% surcharge on profits above GBP 100m, taking their rate to 28%, as well as a separate levy on their balance sheets.

The Chancellor's options include restoring the surcharge to 8%, where it stood before a 2023 cut that coincided with corporation tax jumping from 19% to 25%. Trade unions estimate the move would raise GBP 9bn over four years. He could also lift the bank levy.

Supporters of a raid point to the roughly GBP 15bn in profit the four biggest lenders made in the first half of this year, much of it driven by the wider gap between lending and savings rates.

The deVere CEO stresses that the cost of a raid won't stay with the banks.

Nigel Green argues the Budget is a chance to back one of the UK's genuine global strengths.

Healey has said he has decisions to take and has praised the banks as being woven into the fabric of the economy.

The deVere CEO believes the Budget is the moment to prove he means it.

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