Tobin tax to be in place by year end

A EUROPEAN financial transaction tax is set to be in place by the end of the year despite British opposition, French minister for European affairs Jean Leonetti said on Wednesday in a television interview.

In a clear indication that the new levy will be brought into law, Leonetti said it is “on the programme” for the next EU summit at the end of January.

“Nicolas Sarkozy and Angela Merkel have decided on this and it will be put in place before the end of 2012,” Leonetti said in an interview on LCI television.

According to Leonetti, out of the 27 members of the EU, only Britain and Sweden were opposed to it.

In September, the EU’s executive commission proposed introducing a financial transaction tax in 2014 at 0.1% on share dealings and 0.01% on derivatives and other financial products that could raise around €55bn (£46bn) a year across the EU.