(Brussels 27 June, Press Communication) Today, the European Federation of Public Service Unions (EPSU), ahead of the European Council on 28-29 June, has sent a letter to the Danish and Cypriot Finance ministers urging them to support enhanced cooperation for a Financial Transactions Tax ( FTT). Despite the fact that unanimity of the EU 27 governments was not reached on the last ECOFIN meeting of 22 June, Europe has still a chance to implement an FTT and the European Union Presidency has a key role to play.

EPSU has already express its support for the Commission’s proposal and does not share the concerns voiced by some governments regarding the risk of capital flight and damage that would ensue to financial markets. For now, the under taxed financial sector has yet to foot the bill of the crisis it has caused, leaving instead those who have the least to bear the brunt of the crisis. The bail-out in Spain and Cyprus leaving more than 20% of the population using the Euro without direct sovereignty over its economic policy shows that Europe needs to start confronting the financial markets.

Carola Fischbach-Pyttel, EPSU General Secretary, says “As we are entering the 5th year of the financial crisis and its series of cuts in jobs, pay and viability of public services, the FTT is a good measure to curb financial speculation, generate much needed public income and indeed growth in Europe”.

“We agree with Mr Algirdas Šemeta, EU Commissioner for Taxation, who said on 22 June last that “enhanced co-operation is better than no result at all” allowing a group of the willing to set a precedent that no doubt will attract more followers across Europe and indeed other continents” she added.

EPSU has been campaign on FTT since the beginning of the crisis and it will continue to do so. In the coming months it will also launch a European campaign to fight tax fraud and tax evasion.

For more information: Pablo Sanchez, psanchez epsu.org 00 32 474 62 66 33

PR 2012 06 27 FTT

EPSU letter on FTT enhanced cooperation