Finally, John. After months of speculation and weeks of rumours, today, Rachel Reeves presented her Autumn Budget to Parliament.

There were several positive announcements. Like scrapping the two-child benefit cap - which has kept hundreds of thousands of children locked in poverty - but overall, those with the broadest shoulders still slipped the Chancellor’s net: the big banks. [1]

Today was a huge missed opportunity to tax banks’ windfall profits, which have soared over the last few years thanks to higher interest rates. 

Not only would this have raised over £14 billion from the big four banks alone, it was popular. 2 in 3 people supported it and nearly 70,000 people signed the petition that we delivered to the Chancellor’s front door on Monday. [2]

We did all we can to splash this campaign across social media and the news - and even pushed bank CEOs into publicly begging to be spared. [3]

So it’s disappointing to see the government fail to stand up to bank lobbyists. Especially when we know that banks aren't investing in local businesses, still funnelling money towards fossil fuels, and closing down local branches across the UK. [4]

Shares in NatWest, Lloyds, and Barclays actually *increased* by almost 4% yesterday - following early reports they were going to be spared from tax rises. (Yet more profit they’ve made without having to lift a finger.) [5]

Among the £26 billion in tax rises the Chancellor did announce today, by far the largest chunk has come from freezing income tax thresholds. Pushing 1.7 million people into higher tax brackets or into paying the basic rate for the first time, will raise an estimated £8 billion from the pockets of ordinary people - despite promises that this Budget would raise taxes on those with the ‘broadest shoulders’.

Read Positive Money’s Budget response blog for more detail on this, and the other disappointing announcement from today that the Chancellor has chosen to slash the tax-free cap on Cash ISAs - a policy also lobbied for by city executives.

Other changes, like raising tax on landlords’ rental income and increasing the council tax on extremely high value properties, are welcome steps towards a fairer tax system, but overall, the government could have done so much more today. 

Because life doesn’t have to be this hard. Public services are crumbling, food and energy bills keep on rising, and the climate crisis is hitting lives and livelihoods around the world. 

Our economic system isn’t a naturally occurring phenomena; people have designed it, which means we can redesign it.  

As Simon Opher MP who joined us on Monday said, “thousands of members of the public who have signed this petition are calling to make our economy fairer.” And that is exactly what Positive Money will keep fighting to do. 

Thank you for your support,

Hannah

Hannah Dewhirst

Head of Campaigns, Positive Money

Notes:

[1] Positive Money: Autumn Budget 2025: banks escape and lobbyists celebrate 

[2] Positive Money: #TaxTheBanks petition delivered to Rachel Reeves

[3] TikTok: You won’t believe Barclays’ CEO

[4] Positive Money: How is bank lending shaping the economy?

[5] The Guardian: UK bank shares rise after reports of budget tax reprieve

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