Sadiq Khan urges banks to stay in London as tax raid looms

Sadiq Khan has urged London’s biggest banks to keep investing in the UK, ahead of an expected tax raid on the sector in the upcoming Budget. On Monday, the Mayor of London said the City’s banking sector is “really important” but refused to say whether he opposed the tax raid, adding that “those with broader shoulders carry the greatest burden”.  Healey is expected to target the sector with a tax grab when he takes to the despatch box on Wednesday. A hike to the UK banking surcharge, which sits on top of corporation tax, is expected to be one of the Budget s largest revenue-raisers. The surcharge currently sits at three per cent, taking banks’ total corporation tax rate to 28 per cent, but raising it to eight per cent is expected to raise about £2bn. The Chancellor has been cautioned that a raid on banks could threaten the City’s global status. Jamie Dimon, chief executive of JP Morgan, has previously warned that higher taxes could make him “reconsider” building his bank’s