article_snippet: Banks will be hit with an extra £1billion tax until to clear deficit has been completely cleared, under new Lib Dem proposals.
article_snippet: The new 8 per cent levy - which effectively strips the banks of the benefit of the next Government's corporation tax cuts – will form a key plank of the party's election manifesto.
article_snippet: The Lib Dem economic spokesman Treasury Secretary Danny Alexander wants to introduce a new 8 per cent levy on banks .
article_snippet: The annual levy on banks, which was introduced in 2010, currently brings in around £2.5billion a year.
article_snippet: To that end, we introduced the Bank Levy which is on track to raise £8billion in this Parliament. '
article_snippet: Industry group the British Banking Association criticised the proposal, saying that banks in the UK already pay more tax than any other industry.
article_snippet: Labour will introduce a tax on bank bonuses to pay for a jobs programme for young people.
article_snippet: And we'll increase the bank levy, which has raised over £2billion less than Government promised, to pay for more free childcare for working parents.
highlights_snippet: Banks will have to pay a new 8% annual levy until 2017/18 to clear deficit .
  