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Bank surcharge cut to cost exchequer £1bn as opponents queue up to blast City
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Cutting a tax surcharge on bank profits its set to cost the exchequer £1bn by the financial year ending April 2027, according to costings documents published alongside the UK's Budget on 27 October.
Chancellor Rishi Sunak announced that supplementary charge levied on banks would fall from 8% to 3% from 1 April 2023. The allowance available for banking groups will also be hiked from £25m to £100m in a bid to ease the path to growth for challenger banks.
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