British Bankers' Association Statement Regarding UK Budget 2011

Angela Knight said:
 
"While corporation tax is paid on profits, the bank levy represents an additional fixed cost for larger banks operating in the UK. It also controversially can include the business that banks are doing outside the UK. Without satisfactory double taxation arrangements in place, this is putting banks operating in the UK at a long term disadvantage - both internationally, as they compete against banks not paying such a levy, and domestically, as they compete with other sectors of the financial services industry. This change is not as straightforward as it first appears. Banks like other businesses want a predictable tax regime so they can plan their business accordingly."