European Commission under pressure to consider a Robin Hood Tax
In March this year, the European Parliament voted in favour of adopting financial transaction taxes (aka Robin Hood Tax) however the European Commission is the body that drafts and adopts legislation for the EU and is the body that remains reluctant to support financial transaction taxes. This position is contrary to the against the majority of European Members of Parliament and there are numerous cases made to the Economic Commission to change their position.
This week Public Service Europe published an article arguing that since the European Union multi-year (7 to be exact) budget is up for negotiation, it is a perfect time to include financial transaction taxes to it revenue source. Despite the fact that the EU Treaty states that the EU budget shall be “financed wholly from its own recourses”, it is currently dependent on contributions from member states. A financial transaction tax combined with other measure could revert the EU revenue to what is aught to be.
Also the European Parliament’s Financial Crisis Committee voted in favour of adoption a report which recommended implementation of financial transaction taxes and a system of Eurobonds. Author of the report, French MEP Pervenche Berès told media:
“The financial crisis has been shouldered by taxpayers money, banks are again taking up risky activities, credit rating agencies are still speculating against certain countries – we need to go further in financial markets and banking regulation, and even further towards a new European deal.”
