The European Greens have reacted with disappointment on the outcome of discussions on the Financial Trade tax, calling it unambitious and token. The agreement between the European countries no longer resembles the ambitious approach suggested by the Commission. For it to be truly effective, a solid agreement must have an ambitious tax rate, and not be delayed until 2016. It is now simply a stock-transfer tax on share transactions, that misses the point of the tax in the first place.
According to Green leading candidate Ska Keller: "This is not even a ‘diet' version of a financial transaction tax. It’s simply window dressing. The tax base involved is far too small to have any effect – it’s just a campaign-crutch for the conservative and social-democratic governments who’ve agreed to it. We Greens have constantly pushed for a financial transaction tax that would force the financial sector to pay its fair share and make sure that financial speculation feeds the common good, for example in fighting poverty and working to combat global warming. But what the eleven governments have agreed to is very far from this. Revenues will be very small. The tax will also have no effect on limiting financial speculation, so there’s no disincentive to the type of reckless behaviour that created the crisis in Europe in the first place."
