New HQ building for Lloyds in Cardiff acquired in a multi-million-pound deal

UK bank shares rose after Chancellor John Healey announced a smaller, shorter tax increase than expected. Lloyds gained 4.2%, Barclays 3.7%, and NatWest 2.4%. Investors welcomed the limited impact on profits, easing concerns about prolonged tax burdens.

UK finance minister John Healey announced a temporary increase in the bank tax surcharge from 3% to 6% for 15 months, raising £1.5 billion. The hike is less than feared and sparked a rally in banking stocks, with Barclays, NatWest, and Lloyds up over 2%. Analysts note the fixed end date mitigates long-term earnings impact.

UK shares rose Wednesday after the finance minister's budget included a smaller-than-expected bank tax surcharge. Lloyds, NatWest, and Barclays gained 2.2% to 3.7%. Entain, Evoke, and Playtech also rose due to a smaller gambling tax increase. Standard Chartered gained 3.5% after raising growth targets, while Unilever and GSK fell due to earnings reports.

Shares of major British banks fell after reports of a potential increase in the bank-profit surcharge. Lloyds and NatWest led declines, while Barclays, HSBC, and Standard Chartered saw mixed movements. The surcharge may rise to 8% from 3%, impacting earnings by 6% according to KBW analysts.

Shares of major U.K. banks fell Friday on reports of a potential tax hike. Lloyds and NatWest declined, while Barclays, HSBC, and Standard Chartered rose. Finance Minister John Healey may increase the bank levy to 8% from 3%, which could raise £2 billion annually but cut lenders' earnings by 6%, according to KBW analysts.

RBC downgraded Lloyds Banking Group to 'sector perform' from 'outperform', citing increased competition for UK customer deposits. The bank cut its price target to 115 pence from 124 pence, citing risks to lending margins. RBC expects lower net interest income and reduced loan growth for Lloyds, with a 6% cut to its 2028 pre-tax profit estimate.