
Budget 2026: Healey faces ‘£11bn hole’ as growth slashed and inflation to rise higher
By Marcus Chen
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JP Morgan has slammed the Labour government for raising taxes on the UK banking sector and said the move lacks principle . Wall Street s biggest bank, which serves over 2.5m UK users through its retail arm Chase, has said it is committed to the UK but raised concern over the targeting of the sector in John Healey s first Budget. “To single out this industry for additional taxes again, one of the UK s biggest generators of growth and jobs, lacks principle, a spokesperson for the bank said. It also overlooks that the banking industry operates in a highly competitive global marketplace.” Healey doubled the UK banking surcharge, which sits on top of corporation tax, to six per cent to fund an energy support package. The increase will last 15 months and is expected to raise an extra £1.5bn. The Office for Budget Responsibility (OBR) warned the move could drive £190m in profit out of the UK but warned the overall impact was uncertain . Question turns to JP Morgan to