Congressman Kevin Brady, R-Tx., warned Wednesday of possible retaliation against the U.K. over plans to target Facebook and Amazon with a $510 million (£400 million) digital services tax.

Brady called British Chancellor Philip Hammond's plan a "blatant revenue grab" and said the U.S. will "determine what actions are appropriate to ensure a level playing field".

The levy — targeting tech giants that pay almost no corporation tax in the U.K. — was one of the most headline-grabbing measures in Britain's annual Budget, announced Monday.

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But today Brady, chairman of the House of Representatives Ways and Means Committee, said it unfairly targeted U.S. firms.

He said: “The United Kingdom’s introduction of a new tax targeting cross-border digital services — which mirrors a similar proposal under consideration in the European Union — is troubling.

"Singling out a key global industry dominated by American companies for taxation that is inconsistent with international norms is a blatant revenue grab."

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