The UK financial services industry creates employment for three million people, with nearly half a million in banks alone, according to new research.
A report published by the British Bankers Association (BBA) called Focus on Finance, found that sector corporation tax payments amounted to £9bn – which could pay for 36 new hospitals or 600 city academies.
It finds that the financial services industry makes a £50bn contribution to the UK economy, representing 8.5% of the UK’s Gross Domestic Product (GDP), equivalent to around £850 for every man, woman and child in the country.
Angela Knight, BBA chief executive said: “The financial services industry in the UK creates millions of jobs, generates wealth for the UK’s citizens, contributes some £23bn to the exchequer and provides the economic infrastructure which allows our entrepreneurs and businesses to grow.
“Without the global success of British banking there would be a gaping hole in the nation’s finances and in people’s pensions. It really is the engine room of the economy,” Knight said.