‘Charities want ‘Robin Hood tax’ on banks’
February 26, 2010 at 2:51 pm
A group of 48 charities and trade unions has been formed to provide backing to the introduction of a new ‘Robin Hood’ tax on the banking system.
The tax, supported by Comic Relief, Save the Children and Oxfam amongst others, would consist of 50p on every £1,000 of trading by the big financial institutions. The 0.05% tax would be a tax on banking transactions rather than earnings, so it would not hurt the individual workers.
The money earned would go towards public services, schools and hospitals, as well as raising billions every year in the fight against global poverty.
The idea behind such a tax is by no means new, as it was previously mentioned as far back as the 1970s. But the global recession is now being seen as a new way to instigate the tax because of how the banks have behaved.
If the tax is adopted around the world, it could raise an estimated $400 billion a year. So far it has received a favourable reception in the UK, France and Germany, with the US also sounding positive.
However, not everyone is in favour of the tax. Mervyn King, the Governor of the Bank of England, has stated that he is against it because it could increase tax avoidance levels and force more banks into operating in tax havens.
You can vote on whether you think the tax should be introduced at the Robin Hood Tax website, where you will also find a 3-minute film starring Bill Nighy and written by Richard Curtis.
The group has adopted the slogan: “Turning a crisis for the banks into an opportunity for the world”.
