9000 Bankers to Quit City

January 15, 2010 by admin · Leave a Comment
Filed under: News Briefing

Boris Johnson today put himself on collision course with No 10 and his own party when he warned that up to 9000 bankers could leave London to escape paying a one-off super-tax on their bonuses.
There is growing anger in the City at the measure, with higher earners also to be hit by the 50p income tax rate and higher national insurance rates. Bankers with a non-domiciled tax status face an additional levy.
The Mayor launched a fresh bid to put the issue, which he says is crucial to the national economy, at the heart of the election campaign. But the Tories have no plans to dump the super-tax. Shadow chancellor George Osborne says he does not oppose the proposal.
A senior City Hall source said: “Boris’s job is to defend the interests of London, whoever is in government”. Mr. Johnson’s office has been approached by a number of major global banks.
JP Morgan and Goldman Sachs are understood to be among those considering moving staff and operations after Chancellor Alistair Darling announced the 50% windfall tax on all bonuses over £25000 this year in the pre-Budget report.

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