JPMorgan Chase CEO Jamie Dimon is anticipated to advise UK Chancellor John Healey against imposing higher taxes on banks when they convene before the government’s scheduled budget announcement in October. Dimon is likely to argue that increased tax burdens could deter investment and jeopardize financial-sector employment. This meeting occurs amidst speculations that the UK government might be contemplating a windfall tax on banks and oil companies in its forthcoming 28 October budget.
Currently, UK banks are subjected to a 28% corporation tax rate, which is higher than the standard 25%, along with an additional banking surcharge based on their UK balance sheets. Dimon has consistently expressed opposition to further tax increases, warning of potentially negative impacts on the banking sector. In a phone conversation in August, Dimon reportedly cautioned Healey that raising taxes might adversely affect job numbers, referencing a decline in finance-sector roles in New York, which he partially attributed to the city’s tax environment.
Dimon, along with other banking leaders, has previously advocated against tax hikes ahead of last year’s UK budget. JPMorgan has made substantial investment commitments in London, including plans for a £3 billion headquarters in Canary Wharf. However, Dimon has hinted that such projects could be re-evaluated if the UK enacts policies perceived as unfavorable to banks.
The push for higher taxes on banks has gained traction from organizations such as the Trades Union Congress and Positive Money, who argue that additional tax revenues could be used to alleviate rising household costs. Meanwhile, the UK’s four biggest banks—HSBC, NatWest, Barclays, and Lloyds Banking Group—have amassed approximately £200 billion in pre-tax profits over the last five years.
According to statistics commissioned by UK Finance, British banks collectively paid an estimated £43.3 billion in taxes during the financial year ending March 2025. This figure underscores the ongoing debate about the extent to which the banking sector should contribute additional revenue to the government.