Banks tax

A financial activity tax on Britain's banks targeting profits and remuneration is being considered by Treasury minister Mark Hoban.

The move could double the total amount of tax paid by the banking sector, which currently stands at £2.5 billion annually through the emergency Budget banking levy.

"Further options" are also being examined through the review of bankers' bonuses, a consultation on the design and implementation of the banking levy, and discussions over the possibility of forcing banks to set up 'resolution funds' helping protect customers from further systemic failure.

Experts say Britain has aligned with Germany and France rather than the United States on the issue, backing the German view that finance should be "boring and safe", although some doubt measures will go far enough to deal with another crash.