UK Chancellor Rachel Reeves could boost revenues by imposing a windfall tax on banks

Forex Short News

Bloomberg carry the report, gated. In brief:

  • UK Chancellor Rachel Reeves could boost revenues by imposing a windfall tax on commercial banks, targeting profits earned from taxpayer-funded deposits at the Bank of England.

  • The Institute for Public Policy Research estimates such a levy would raise £32.3 billion over the current five-year parliament, giving Reeves £3.6 billion in extra fiscal headroom.

  • The think tank also urged the BoE to halt active gilt sales, a step it says would save more than £10 billion annually and cut interest costs by £1.1 billion in 2029-30.

The UK government is considering many means to rais erevenue.

This article was written by Eamonn Sheridan at investinglive.com.