It is now time to stop bashing banking institutions or risk these financial institutions relocating operations abroad, according to Adrian Kinnersley, director of Twenty Recruitment Group.

Yesterday the Chancellor announced that he was reducing corporation tax by 2% to 23% but to ensure that this is not a net tax cut for banks he would adjust the bank levy rate next year to offset its effect.

Kinnersley says: “Financial services is the one single area in which we can claim to be a global leader but the UK is the only G20 country where there is a bank levy – or a bonus tax.

“Additionally, the Banking Commission is poised to deliver its report on restructuring next month. Again no other G20 economy has gone that far – shouldn’t that tell us something? We have already had whisperings that HSBC may defect to Asia and you do have to ask why large institutions would want to base themselves in the UK.

“It’s all very well to blame the banks for all the woes of the world but the financial services sector is integral to the economy - and while there is a need for a rebalance to reduce reliance on the City that shouldn’t be done by patting other sectors on the head and then bashing the banks. This is not about what’s best for the country – it’s simply political grandstanding.”