Chancellor John Healey will not raise capital gains tax in next week's budget, despite calls from cabinet colleagues including Louise Haigh and Wes Streeting. According to Treasury sources, a rise could ultimately cost revenue if wealthy people delay selling assets or move them abroad. Instead, Healey is expected to tax banks' profits in the 28 October budget, as the UK's four largest lenders, HSBC, NatWest, Barclays and Lloyds Banking Group, generated £200bn in pre-tax profits over the past five years. Healey may accept a smaller fiscal headroom left by Rachel Reeves, as rising borrowing costs could halve the £24bn cushion, according to analysts. Conservative leader Kemi Badenoch will call for spending cuts rather than tax rises.
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GBP/USD
• NeutralRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/19/2026 | 1.33040 |
| Change that session | -0.20% |
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