EU Transaction Tax in Law by Year End

Robin Hood tax campaigners demonstrate outside the Treasury in London. MEPs have voted for a 0.05% levy on financial transactions, which could go towards fighting global poverty and climate change. Photograph: Martin Argles

By Harry Wilson
The Telegraph

The European Union is set to move ahead with plans for a financial transaction tax despite British opposition, with a senior French politician saying the new levy will be in place by the end of year.

Jean Leonetti, France’s minister for European affairs, yesterday gave the clearest indication yet that the tax will be brought into law, saying the French and German governments were agreed that it should be implemented.

“This is on the programme for the next European summit [on January 30]. Nicolas Sarkozy and Angela Merkel have decided on this and it will be put in place before the end of 2012,”

Mr Leonetti said in a television interview.

Britain and Sweden are alone among the EU’s 27 member countries in opposing the tax, which has gained iconic status among finance industry critics.

In the UK, the Robin Hood Tax Campaign has been set up to lobby for the imposition of a financial transaction tax, which it says would see the banking sector pay for the damage the campaign says it caused in the financial crisis.

The Government has made clear its opposition to the tax and David Cameron has argued that it would be against Britain’s national interest.

The EU’s executive commission proposed in September introducing a financial transaction tax in 2014 that would be charged at a rate of 0.1pc on share dealings.

Initial estimates suggest the tax could raise about €55bn (£46bn) a year across the EU with the proceeds shared between its central structures and member states.





VIDEO: Campaign video by Richard Curtis and Bill Nighy, about the Robin Hood Tax, a tiny tax on bank transactions that could raise hundreds of billions for public services and to tackle poverty and climate change at home and around the world.



Sources: The Telegraph (article) | Martin Argles, Guardian (photo)| You Tube  (video)| Assembled by Haiti Chery


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