JPMorgan Chase CEO Jamie Dimon is set to caution UK Chancellor John Healey against increasing taxes on banks during their meeting ahead of the government’s October budget announcement. Dimon is expected to argue that any rise in levies could deter investment and threaten jobs within the financial sector. This meeting comes amid speculation that the UK government is contemplating a windfall tax on banks and oil companies in the upcoming 28 October budget.
Currently, UK banks are subject to a 28% corporation tax rate, higher than the standard 25%, in addition to a specific banking surcharge calculated from their UK balance sheets. Dimon has consistently opposed further tax hikes, warning that such measures could adversely impact the financial sector. In a reported telephone conversation with Healey in August, Dimon highlighted that higher taxes could have negative effects on employment, drawing parallels with declining finance jobs in New York, which he attributed partly to the city’s tax policies.
Previously, Dimon and other banking leaders have lobbied against increased taxes prior to the UK government’s budget decisions. JPMorgan has invested significantly in London, including plans for a £3 billion headquarters in Canary Wharf. However, Dimon has cautioned that these plans could be reconsidered if the UK were to implement policies perceived as unfriendly to banks.
Groups such as the Trades Union Congress and Positive Money are among those advocating for higher taxes on banks, suggesting that additional revenue could help alleviate rising household costs. Meanwhile, the UK’s top four banks—HSBC, NatWest, Barclays, and Lloyds Banking Group—have collectively amassed approximately £200 billion in pre-tax profits over the last five years. According to UK Finance, British banks paid an estimated £43.3 billion in taxes for the financial year ending March 2025, underscoring the ongoing debate over the sector’s fiscal contributions.