Real Windfall tax needed on big banks’ excess profits generated by interest rate rises

Unite general secretary Sharon Graham said: “It’s offensive that government ministers are insisting NHS workers take another savage pay cut while their big City banker friends are given carte blanche to make billions. 

“Rishi Sunak needs to put a real powerful windfall tax on the excess profits of the big banks. Like the energy companies, the greed of the big banks is fuelling the cost-of-living crisis. An epidemic of profiteering has brought this country to its knees - workers are not responsible for it and should not have to pay for it. It is time the government held the big business interests that profit, while everyone else pays the price, to account.”

ENDS 

Notes to editors: 

Research by Unite has revealed that the UK banking sector is making bonanza profits on the back of Bank of England interest rates increases.  

In the first nine months of 2022, the big four UK banks (Barclays, HSBC, Lloyds and NatWest) recorded profits of £19.8 billion. Since the end of 2021, big banks’ bank net interest income has increased by 37 per cent.

Post-pandemic, the top banks have made more money than at any point since the financial crash. Since the Bank of England chose to start raising interest rates, the big four's profits have grown three times more quickly than workers’ incomes and twice as fast as profits for all companies.

The excessive profits in the sector, principally generated by interest rate rises, cannot be allowed to go on and on when millions are in fear of the fuel bill and cannot feed their children properly.  

For media enquires ONLY contact Unite communications officer Ryan Fletcher on 07849 090215.

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Unite is Britain and Ireland’s largest union with members working across all sectors of the economy. The general secretary is Sharon Graham.