Jamie Dimon warns UK chancellor against higher bank taxes

August 17, 2026 - 01:02

JPMorgan Chase chief executive Jamie Dimon has directly cautioned the UK government against raising taxes on the banking sector, adding his voice to a growing lobbying effort from the financial services industry ahead of the October Budget.

According to sources familiar with the matter, Dimon communicated his concerns to Chancellor John Healey in recent weeks, warning that additional levies could undermine London's competitiveness as a global financial hub. The call is part of a broader push by major banks and industry groups to persuade the Treasury to avoid new fiscal burdens on lenders.

The banking sector is already facing a significant increase in corporation tax, which is set to rise from 19 percent to 25 percent in April. In addition, the government has introduced a new surcharge on bank profits, meaning the effective tax rate for many lenders will exceed 30 percent. Industry leaders argue that this combination makes the UK less attractive compared to rival centers like New York, Singapore, and Paris.

Dimon's intervention carries particular weight given JPMorgan's substantial presence in the UK, where it employs around 22,000 people. The bank has repeatedly stated that London remains a key strategic location, but executives have also hinted that future investment decisions could be influenced by the tax environment.

The Treasury has not commented on the specifics of the conversation, but officials have stressed that the government is committed to maintaining a competitive tax regime while also raising revenue to fund public services. The October Budget is expected to set out detailed fiscal plans, and the financial sector is bracing for potential further measures.

Industry bodies, including UK Finance and TheCityUK, have been pressing the government to reconsider the pace of tax increases, arguing that a thriving banking sector is essential for economic growth and job creation. They have also warned that excessive taxation could drive activity to other jurisdictions, ultimately reducing the overall tax take.

The outcome of the Budget will be closely watched by global investors and financial institutions, many of which are evaluating their long-term commitments to the UK. For now, the sector is hoping that the Chancellor will heed the warnings and hold off on additional tax hikes.