JP Morgan Chase CEO Jamie Dimon met with UK Chancellor John Healey in London to discuss concerns over a potential new tax on banks. The meeting comes ahead of the Budget on October 28, with some within the Labour party advocating for a windfall tax on lenders to address a shortfall in public finances.
Dimon reportedly cautioned against such a measure, stating that an increased bank levy or corporation tax surcharge would be a "negative" factor for future investment in Britain. He has previously noted that past levies have cost JP Morgan shareholders approximately £4 billion. Dimon emphasized that consistent government policies are crucial for lending and new investment, and suggested that streamlining regulation, improving government efficiency, and reducing fraud are cost-free ways to bolster the economy.
Healey has previously promised to reduce regulatory burdens and remove obstacles to growth. Dimon's views on bank taxes are well-established; he has pointed out that JP Morgan did not require government support during the 2008 financial crisis and even provided assistance to Irish banks. He believes that significant American banks, which have invested heavily in the UK and contribute significantly to employment in the financial services sector, could reconsider their presence if operating costs in Britain become prohibitive.
JP Morgan is currently committed to building a new European headquarters in Canary Wharf, a project valued at £3 billion. While the bank is unlikely to abandon this investment, Dimon has indicated that government actions can have consequences. The discussions between Dimon and Healey also touched upon the welfare of JP Morgan's more than 22,000 British employees.