Proposals for a proposed “Robin Hood” tax on bank operations may get support from the Green Party this week, thanks to its local parliamentary candidate Gina Dowding.
This week, Gina, who is Lancaster’s Green Party candidate for Lancaster and Fleetwood in the coming general election, was to propose the motion at the Green Party’s spring conference that the Greens should support the global “Robin Hood” tax campaign fronted by actor Bill Nighy (Love Actually, Pirates of the Caribbean) in the UK.
“This simple tax presents an opportunity to redistribute the enormous wealth of an untaxed financial sector towards those with the greatest need,” Gina claims. “I am proud to be one of the proposers of this motion to the Green Party’s Spring Conference.”
The Financial Transaction Tax would impose a very low tax on financial products such as stocks, bonds and derivatives but raise around £250 billion for investment in international development and climate change. So far, nearly 30,000 people have signed up to support the campaign with an online poll on the campaign web site (robinhoodtax.org.uk) suggesting overwhelming support for the idea, which was also proposed by Labour Prime Minister Gordon Brown last the September’s G-20 summit.
Campaigners argue such a tax on banks has the power to raise hundreds of billions every year. “It could give a vital boost to the NHS, our schools, and the fight against child poverty in the UK – as well as tackling poverty and climate change around the world.”
“Governments around the World sat back as banks awarded themselves huge bonuses, while gambling with our money,” Gina argues. “The financial turmoil that followed exemplifies an agenda that seeks to put profit before people.
“Aside from the urgent need to curb the bankers’ bonuses, this small measure could be a real opportunity to benefit those in most need around the world and help tackle poverty and the worst effects of climate change, both here and abroad.”
Earlier this month, US Democrats introduced legislation that would levy a tax on financial transactions by most large US banks and other financial institutions, but the Nasdaq web site reports the bill has little immediate chance of success as House Speaker Nancy Pelosi ruled out using the tax to offset the cost of a job-creation package that lawmakers are currently piecing together.
Gordon Brown’s suggestion to introduce a financial transaction tax met with a lukewarm response from global finance ministers, but MEPs and experts from various organisations have discussed the the feasibility of introducing it in the European Union.
In Decmeber, Xavier Rolet, chief executive of the London Stock Exchange group said any such levy would be vigorously opposed by the financial industry, as it would increase costs and have a “substantial damping effect” on transaction activity.
By contrast, Sony Kapoor, managing director of think-tank Re-Define, claimed the “revenue potential is enormous”.
A rate of 0.01 % would raise €287 billion worldwide, with €130 billion alone coming from the EU plus Switzerland and Norway, according to an Austrian study cited by Alexander Wiedow, the European Commission’s director for taxation and customs union (for more arguments presented to the EU, click here.
• Robin Hood Tax web site: http://robinhoodtax.org.uk
• Lancaster and District Green Party web site: www.lancastergreenparty.org.uk
This motion was passed unanimously at Conference.