Barclays boss urges UK ministers to limit public sector pay rises | Barclays

The General Manager of Barclays said that the United Kingdom government should limit wage increases for public sector employees and resist to “squeeze” more in banks with tax increases.

CS Venkatakrishnan said that when the government announced his budget in November by Chancellor Rachel Reeves, he should look at his own expenditure levels because he was looking for ways to appeal to a financial hole.

“We need to block government -level expenditures,” he said. Financial times. “We have to find a way to prevent wage inflation.”

Venkatakrishnan, the government’s increasing “public sector” wages, although the fact that the inflationary effect of wage increases is a problem in the UK economy.

While the British wage increase has slowed down in recent months, except for bonuses, it works at a rate of 5.7% annually in the public sector. Private sector wage increase is an average of 4.8%.

Venkatakrishnan also said that the banking sector should not have more taxation targets. “The UK banks are taxed more than banks anywhere else,” he said. “How much more will you get this?”

Since the banks are under pressure to increase taxes to address a hole in Reeves’s financial plans, it is concerned that the sector’s reliable profits fed by higher interest rates can make tax increases targets.

Last month, the UK Bank’s stocks rolled and reduced the united market value of the largest companies in the industry by more than £ 6 billion, because the budget called for a new decline for great debtors in spooky investors.

Venkatakrishnan said, “I hope it’s an extremely low probability.” “London is a major global financial center and does not lie to tax the growth road sector even more. I received the opinion that it is a government with a professional business and especially the financial industry since the first day.”

The authority claimed that British banks actually had a total tax rate of approximately 46% last year, 28% in New York and 29% to 39% in the EU.

Barclays won £ 5.7 billion in the pre -tax profit in the UK last year and paid £ 1.4 billion in total tax. It was £ 154 million for £ 198 million for company tax and bank tax.

“I hope and what I’m hoping for is that they think of this time with hard choices, V Venkatakrishnan said. “No budget makes everyone happy, but the aim is to encourage growth in the country.”

Venkatakrishan has been a vocal supporter of Reeves and wider workers’ policies since he came to power last summer, but he recently spoke against the proposals of changing the bell rules that have recently forced British banks to separate retail and risky investment banking operations.

Lloyds Banking Group General Manager Charlie Nunn, including other British bank bosses, this summer walking taxes will not be “consistent” with the message of the city to the city so far, he said.

Nunn said that Reeves believes that the industry has a “major role ve in terms of supporting households and businesses, and cut off regulation and bureaucracy to increase growth. “We definitely believe that it is an important thing to focus and therefore frankly, [it] Nunn said.

When Venkatakrishnan’s latest comments tell journalists, the release of the second quarter of Barclays, as well as the release of the second quarter results: “Banks are among the biggest tax taxpayers in this country. In addition, the growth is the primary target for England and that the business is not a higher way to grow.