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Pre-Budget Report

My right hon. Friend should bear it in mind that if—when—banks return to profitability, which must be one of the objectives in the longer term, they pay corporation tax on those revenues. On tax and bonuses, I want to try to get banks to think long and hard about paying out large sums when, frankly, they ought to be building up their strength. I have said often enough in the House that I am not against the payment of bonuses in themselves—they can be a good way to reward and incentivise people—but if banks are going to pay those very high bonuses, it is right that the taxpayer should see some benefit from that.