Banking surcharge: surcharge allowance: banking company not in a group or only banking company in a group
A banking company which is not in a group containing other banking companies for any part of its chargeable accounting period has a maximum available surcharge allowance of £25m. For accounting periods of less than 12 months the amount is proportionally reduced.
- Company A has an accounting period 1 April 2016 to 31 March 2017
- Company A is one of two banking companies in Group X
- Company A leaves Group X on 31 October 2016 and joins Group Y on the same day.
- Company A is the only banking company in Group Y
- Company A is still a member of Group Y at 31 December 2017.
- Groups X and Y both make their accounts up to 31 December.
For the purposes of the banking surcharge Company A is a member of Group Y for the whole of its accounting period ended on 31 March 2017 as it is included in the consolidated financial statements of Group Y at 31 December 2016 and 31 December 2017 (BKM402900). As Company A is the only banking company in Group Y it is entitled to the maximum available surcharge allowance of £25m.