HSBC boss says Rachel Reeves putting up bank taxes would harm UK growth

HSBC is ‘positive about the outlook’ for the UK, which had ‘demonstrated strong resilience over the last few years’. Photograph: Stefan Wermuth/Reuters

The boss of HSBC has joined a growing chorus of bankers cautioning Rachel Reeves against increasing taxes on banks in her autumn budget, warning it risked “eroding” investment and ultimately harming UK growth.

Georges Elhedery, its chief executive, said banks in the UK were already subject to the highest level of taxes on profits compared with other sectors, and paid more than in most other countries. He said placing further financial pressures on lenders could spell trouble for the UK economy.