Thank you for contacting me regarding your support for a windfall tax on banks. 

In response to questions on this issue, the Government has pointed to the bank corporation tax surcharge, which is currently an additional 8% payable on banking sector profits on top of corporation tax, but which the Government is decreasing to 3% from April 2023, which is obviously outrageous. It also points to the levy charged on banks’ balance sheets with equity and liabilities over £20 billion.

It is quite clear that banks do not pay their fair share and far from ensuring that, the government is seeking to deregulate the City of London once again, proving they’ve learnt nothing from the financial crash.

More widely, I agree that at a time when most people are suffering with the rising cost of living and cuts to public services, we need to tax fairly. It cannot therefore be right that the Government is raising taxes on workers while ignoring other sources of revenue.

The Labour Party has been campaigning for a number of taxes including a full windfall tax on oil and gas producers, scrapping the utterly indefensible non-dom status, closing tax loopholes for private equity or ended the VAT exemption for private schools.