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Cameron wrong on Robin Hood Tax – City still pays, but to EU not UK

by - 7th February 2012, 11.11 BST

Responding to a report published today by Ernst and Young, which says that the City would still pay more than half the revenue of an EU-wide financial transactions tax (FTT) or Robin Hood Tax, even if the UK opts out, TUC general secretary Brendan Barber said:

“Today’s report wrecks the government’s claim that blocking a Robin Hood Tax, despite the idea’s popularity with voters, is in Britain’s interests.

“The government’s opt-out means that UK taxpayers will see nothing of the estimated £21bn of new taxes paid by the City, which will instead go straight to EU governments.

“Signing the UK up would boost the Robin Hood Tax and raise around £35bn a year to combat poverty, invest in green jobs and help pay off the deficit.

“Instead the Prime Minister is giving away £21bn of UK-generated tax revenues to Europe, just to help the City avoid paying their fair share of tax.”