With this it will be convenient to consider the following:
Clause 17 stand part.
That schedule 2 be the Second schedule to the Bill.
Amendment 3, in schedule 3, page 74, line 4, leave out “8%” and insert “the relevant percentage”.
This amendment would replace the 8% rate of surcharge in the Bill with a new rate to be set in regulations.
Amendment 4, page 74, line 7, at end insert—
‘(1A) For the purposes of subsection (1), the “relevant percentage” is a percentage of the company’s surcharge profits for the period, not exceeding 8%, which the Treasury shall specify in regulations; and such regulations may specify different percentages in respect of different levels of surcharge profits.
(1B) Regulations under subsection (1A)—
(a) shall be made by statutory instrument, and
(b) may not be made unless a draft has been laid before and approved by resolution of the House of Commons.”.
This amendment would require the Treasury to set the level of the surcharge in regulations, and would allow for different tiers of surcharge. The regulations would be subject to approval by the House of Commons.
That schedule 3 be the Third schedule to the Bill.
New clause 1—Impact of changes to the bank levy rate and of the banking companies surcharge—
“(1) The Chancellor of the Exchequer shall, within three months of the passing of this Act, undertake a review of the overall impact of the changes made by sections 16 and 17 of, and schedules 2 and 3 to, this Act, on:
(a) the structure of bank balance sheets;
(b) the long-term tax revenue from the banking sector; and
(c) competition and diversity within the banking sector.
(2) The Chancellor of the Exchequer must lay a copy of the review before both Houses of Parliament.”.