JPMorgan Chase CEO Jamie Dimon is set to advise UK Chancellor John Healey against raising taxes on banks in their upcoming meeting, a discussion scheduled ahead of the government’s budget announcement on October 28. Dimon plans to argue that an increase in levies could deter investment and threaten jobs within the financial sector. This meeting occurs amid predictions that the government might impose a windfall tax on banks and oil companies.
Currently, UK banks are subjected to a 28% corporation tax rate, which is higher than the standard 25%, in addition to a separate banking surcharge based on their UK balance sheets. Dimon has been a vocal critic of further tax hikes, cautioning that such measures could have detrimental effects on the banking industry. In a previous conversation with Healey in August, Dimon reportedly highlighted the negative impact of higher taxes on employment, citing a reduction in finance-sector jobs in New York as partly due to the city’s tax policies.
Dimon, along with other banking leaders, has previously opposed similar tax increases prior to last year’s UK government budget. JPMorgan has pledged significant investments in London, including a £3 billion headquarters in Canary Wharf. However, Dimon has cautioned that these plans could be reevaluated if the UK pursues policies perceived as unfriendly to banks.
Advocacy groups such as the Trades Union Congress and Positive Money have been urging for higher bank taxes, suggesting that the additional revenue could alleviate rising household expenses. Meanwhile, the UK’s major banks—HSBC, NatWest, Barclays, and Lloyds Banking Group—have amassed around £200 billion in pre-tax profits over the past five years.
Data commissioned by UK Finance shows that British banks collectively paid approximately £43.3 billion in taxes for the financial year ending March 2025. This statistic underscores the ongoing debate about the financial sector’s contribution to the public purse and whether it should be increased further.