The invention discloses a design method of a time-varying separable non-downsampled filter bank based on iterative calculation. The method comprises the steps of: firstly, based on the properties of atwo-dimensional separable filter, designing an analysis filter bank with a frequency response; and finally, converting the reconstruction problem of the output signal of an integrated filter bank toa global least squares problem, converting the global least squares problem into a local least squares problem, and performing solution through an iteration mode. The iteration calculation method is low in iteration times, the designed time-varying separable non-downsampled filter bank has the complete reconstruction feature and the better denoising performance, and the analysis filter has frequency response.