A $2.4bn hit from Donald Trump’s new US tax regime was almost single-handedly responsible for a drop of more than a third in JPMorgan's group profits over the last quarter of 2017, the bank announced today.

JPMorgan said net profits for the three months to the end of December were $4.2bn, down 37% from a year earlier. Without the charge on the back of the change in tax laws, which were signed by the president last month, the bank’s profits would have been just 1% below their level a year earlier, the bank said.