The chairman and chief executive of one of the world's biggest banks has said countries have "got to be careful" with their budgets and ask themselves what a tax rise is for.

Bank of America's Brian Moynihan was speaking about the UK budget to Sky's Wilfred Frost on his The Master Investor Podcast.

While Mr Moynihan said the recent UK fiscal announcement was "fine with Bank of America", he added that governments must be careful with financial markets' reaction.

"All countries have to understand that the simple question a business asks is, you want higher taxes... higher taxes for what? If the 'for what' is not something that makes sense, that's when you get in trouble," Mr Moynihan said.

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