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Top European court rejects Osborne’s Robin Hood tax challenge

by Dylan Lobo on Apr 30, 2014 at 12:18

Top European court rejects Osborne’s Robin Hood tax challenge

George Osborne’s appeal against an European tax on financial transactions has lost its legal challenge.

Known as the Robin Hood or Tobin tax, the Treasury launched its objection last year, fearing London’s status as a leading financial services centre could be damaged by the financial transaction tax (FTT).

However, the European Court of Justice rejected the plea today and described the challenge as ‘premature’. ‘The Court dismisses the United Kingdom's action,’ it said in a statement.

‘The Court finds that the contested decision does no more than authorise the establishment of enhanced cooperation, but does not contain any substantive element on the FTT itself.’

The FTT will be adopted by 11 states: Germany, France, Spain, Italy, Austria, Belgium, Greece, Portugal, Slovenia, Estonia and Slovakia.     

The Treasury argued that UK firms which trade with London branches of banks based in these 11 domiciles could be adversely impacted.  

The UK indicated it was prepared to take further legal action following the ruling.  

A Treasury spokesperson told the BBC: ‘The government is determined to continue to ensure that the interests of countries outside of the single currency, but inside the single market, are properly protected.’

Mark Boleat, chairman at the City of London Corporation (CLC), backed a fresh challenge.       

‘The FTT as it currently stands is an extra-territorial tax which will damage the UK’s recovery and potential for growth, and the UK government is absolutely right to fight its introduction,’ Boleat said in a statement.  

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2 comments so far. Why not have your say?

Knowledgable insider

Apr 30, 2014 at 13:03

The dynamic duo 'Cameron & Osborne' had better get used to being shown the exit door when it comes to 'negotiating' better term with our 'European Partners' I imagine the public will let them know at the forthcoming European elections what they think of these two's ability to change Eururopean minds. Cameron is yet again lying about his intentions of having a fair referendum and the public have rumbled him as hes about to find out in May!! This is the main reason for UKIP's advance as they appear to be the only party that will trust the public with a fair vote.

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Peter Barrett

May 02, 2014 at 15:57

Laurel & Hardy have absolutely no chance of negotiating any meaningful benefits for the UK from the crooks in Brussels; it is criminal that unelected bureaucrats can impose draconian taxes on the UK when we are not even in the dodo (euro).

When the euro was launched I wrote to several MPs saying it would probably end in war and was actually ridiculed by one; recently we have had anarchy in Cyprus and Greece, new "governments" imposed on the Greeks & Italians along with demonstrations throughout Europe. The can has simply been kicked down the road, the only consistent theme is that the EU, since inception has never balanced its books and its budget is ever increasing .

The lunatics in the Westminster asylum are scared to oppose these measures and regrettably it will require serious civil unrest in the UK to get us away from this cancerous mess, unless UKIP are able to win 150 seats at the next election. The traitors in Westminster should be dragged to the Tower of London and executed.

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