A 10% extra tax on banks, and stop tax relief on banker’s pay

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Goldman Sachs is supposedly having a great year:

Staff at Goldman Sachs staff can look forward to the biggest bonus payouts in the firm's 140-year history after a spectacular first half of the year

I’ve said it before, and I’ll say it again: banks should pay an extra 10% corporation tax for the risk they impose on society when doing this. Call it an insurance premium until we cut the risk they create down to size.

I’d add something else: I don’t think we can make a maximum wage stick. I’d like to, but I can’t see it working. But we can disallow wages for corporation tax purposes. I’d do that for all salaries more than  10 times the average of UK mean and median wages. That provides useful indexing and benchmarking. It also means all pay over about £250,000 now would not be subject to corporation tax relief. More than 99.5% of people should be OK with that – and let me assure you – it would work.