A windfall tax on huge bank profits could scrap the two-child benefit cap

The big 4 banks have made £24.1bn in profits since the start of 2025 alone. Imposing a similar windfall tax to oil and gas companies on their UK income would raise more than enough to scrap the two-child benefit cap, lifting more than 250,000 children out of poverty overnight.

In the last 6 months, the big 4 banks have made £16.5bn from interest and bank fees in the UK - paid by you. A 38% tax on UK net income, as proposed by Positive Money, would have raised £5bn so far this year. 

But instead the Bank of England is paying these banks billions in interest. Rather than handing money to the banks, why won’t the government tax them to lift children out of poverty?  And why aren't the main opposition parties calling for taxing the banks either?