A Financial Transaction Tax for the EU

There are increasing calls for the financial sector to contribute to the resolution of the financial crisis and to help prevent its repeat. Although efforts to introduce a Financial Transaction Tax (FTT) at global level have so far failed, a proposal to introduce an EU-wide tax was put forward in 2011. Commentators are divided on its likely economic effect. Amongst Member States, nine have pledged support but with strong opposition led by the UK, the chances of getting the required unanimous support appear slim.