UK Raises Bank Tax Surcharge to 6% for 15 Months
Treasury chief John Healey confirmed in the October 28 budget that the surcharge on bank profits above a threshold will rise from 3% to 6% from January 2027 through March 2028.
In the UK budget announced on October 28, 2026, Treasury chief John Healey confirmed that the bank corporate tax surcharge will increase from 3% to 6% for a 15-month period beginning in January 2027. This measure is intended to help fund immediate support for energy bills as the government navigates global economic challenges. The surcharge, which applies to profits above a certain threshold, is scheduled to remain in effect until the end of March 2028. Analysts noted that the move is a significant regulatory change for the banking sector, with shares in major institutions including Lloyds Banking Group reacting to the announcement.