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Banks Say Healey Plans To Increase Tax On Their Profits. Chancellor John Healey is planning to increase taxes on the banking sector in his first Budget, according to senior banking executives. The UK's four biggest banks collectively made around £15 billion in profit during the first six months of this year, prompting trade unions to call for additional taxes on the sector. Banks and building societies currently pay a 3% surcharge on top of the standard 25% corporation tax rate, as well as a levy on assets held on their balance sheets. The banking sector contributed nearly £40 billion to the Treasury last year when income tax paid by employees is included. However, industry body UK Finance warned that further tax increases could weaken competitiveness and discourage investment and job creation. Healey has previously described banks as part of the "crown jewels" of the UK economy.
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