Treasury committee asks Bank to scrutinise original tax fearing changes will favour ‘big four’ and harm competition in banking sectorGeorge Osborne’s original tax on banks is facing fresh scrutiny from the Bank of England after MPs urged Threadneedle Street to consider the implications for competition in the sector.
Banks such as Metro and Secure Trust – which are trying to take on the big four” on the high street – have been arguing that the tax puts newcomers at a disadvantage. In July,the chancellor announced that the Treasury will impose an additional 8% of corporation tax on banks making profits of more than £25m from next year, in a lag that will also hit the balance sheets of smaller players. Related: Is BT's Openreach open enough? It's a proper question Continue reading...
Source: theguardian.com