France’s minister for European affairs: EU transaction tax ‘in law by year end’ [View all]

[pampango]

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.

“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.

http://www.telegraph.co.uk/finance/newsbysector/banksandfinance/8993543/EU-transaction-tax-in-law-by-year-end.html

Hope the EU pushes through with a financial transactions tax. That would help Europe deal with the damage caused. While that won't make it much easier to pass such a tax in the US, at least it will remove the Wall Street argument that "It will put us at a competitive disadvantage with Europe" which represents the world's largest economy.