Protesters demand windfall tax on banks as interest rates rise

Rates were raised from 5% to 5.25%, the 14th consecutive increase that put them at a 15-year high.

Campaigners from Positive Money demonstrate outside the Bank of England (Jordan Pettitt/PA) (PA Wire)

Campaigners protested outside the Bank of England to demand change ahead of another rise in interest rates.

Rates were raised from 5% to 5.25%, the 14th consecutive increase that put them at a 15-year high.

Demonstrators from Positive Money, a group campaigning for bank reform, were protesting against what they say is the Bank’s “flawed attempt” to combat inflation – claiming it was making the cost-of-living crisis worse.

They demanded the Government bring in a windfall tax on bank profits in a similar move to the levy imposed on oil and gas firms following the spike in energy prices.

Hannah Dewhirst, head of campaigns at Positive Money, said: “We’re outside the Bank of England here today to protest the Bank of England’s relentless hiking of interest rates, which are causing big bank profits to balloon while millions of us suffer from the cost-of-living crisis.

“And to demand the Government introduce a windfall tax on banks’ excessive profits so that we can help those suffering the most from this crisis.”

One supporter, 60-year-old Mike Jackson, said: “It’s a disgrace that the rest of the country is suffering from the cost-of-living crisis, and yet big businesses, including the banks, are making record profits. And this is just completely unacceptable. We need to tax the banks; they need to pay their share of all this.

“I’ve got a mortgage. So, my mortgage payments are going to increase. But you know, it’s not just about me, we’re all in this together. It’s a collective concern that we have here.

“So many big businesses avoid paying taxes globally. And governments around the world need to come together to make sure that these companies are accountable to the people.”

Another protester, a civil servant who asked not to be named, added: “I feel sorry for people. It’s out of control. I don’t think the Government knows what they’re doing. Maybe they need a coalition. And honestly, it just gets me down. In fact, if Screaming Lord Sutch came back tomorrow, I’d vote for him. Free rock music, free beer and go out there and enjoy yourself. Because, unfortunately, this country’s heading to chaos.”

Another demonstrator, named only as Sarah, 25 – who works in the pharmaceutical industry, said: “I’m not really sure when there would be a chance for me to get on the housing market or the housing ladder. I’m at the moment currently renting, and the rental market is crazy as well. So, I’m even struggling with that.”

She added: “Interest rates probably won’t come down like they won’t be at a low enough level for me to get on the property market for another four or five years. So, we’ll probably just have to keep spending money and renting.”