Home » PES: European Socialists call for tax on speculators - Conservatives hesitant

PES: European Socialists call for tax on speculators - Conservatives hesitant

2010/03/11
The Party of European Socialists’ (PES) President Poul Nyrup Rasmussen welcomed the European Parliament’s decision today to call for a common EU position on a Financial Transaction Tax (FTT).

“The PES has long called for an FTT to curb the excesses of speculators. We are happy to see the European Parliament take this step despite resistance from Conservatives”, said Mr. Rasmussen. He praised the efforts of Udo Bullmann MEP (S&D) whose amendments have given the resolution much needed backbone.

“It is for this reason that the PES is participating in a Conference organised by the Global Progressive Forum and the European Progressive Political Foundation FEPS , on 15 March (next Monday), a high level conference on why we need an FTT,” stated Mr. Rasmussen. The PES leader will open the event with a live transatlantic link with US trade union leader, Richard Trumka, to illustrate the growing efforts for the tax on both sides of the Atlantic.

Mr Rasmussen gave his comments as calls intensified for the EU to support an FTT. Renowned economist Jeffrey Sachs, when asked today if such an action should be taken, stated that; “the EU is big enough to do this”.

Mr Rasmussen’s comments follow the declarations of European Commissioner for Taxation, Algirdas Šemeta before the Parliament Monday, who expressed a more hesitant position towards the introduction of a Financial Transaction Tax. The Lithuanian conservative tried to say that the tax would reduce EU competitiveness, despite the levy agreed by FTT advocates of only 0.05%.

The tax is currently being dealt with through the G20 process, with the IMF due to issue a report in April. However the PES is of the opinion that the EU can and should move forward and promote the idea on the global stage.

“A growing number of Head of States across Europe are calling for a Financial Transaction Tax. Mr Šemeta could soon find himself alone with only speculators for company” said Rasmussen.