(June 17) The European Federation of Public Service Unions (EPSU) and Public Service International (PSI) are mobilising in the framework of the Global Day of Action for the Financial Transaction Tax. Therefore, we have asked our affiliates in G-20 countries to contact their Governments to demand a clearer support for the FTT in the upcoming G-20 Cannes meeting.
The draft text to our affiliates is below.
If any EPSU affiliates would like to send an email to the European Council or Commission, something that EPSU is also doing, you can use it to demand a European FTT as a first step to a global one.
Dear Prime Minister,
Dear President,
As a member of the G20 that was established in the wake of the 1997 Asian financial crisis, I believe your main duty is to stabilize the global financial market.
On this Global Day of Action for a Financial Transactions Tax, I am writing [for affiliates whose governments support a FTT ( i.e. France, Germany, Brazil, South Africa?) to ask you to maintain and voice [OR for affiliates whose governments don’t support a FTT] seek your support for the introduction of a Global Financial Transactions Tax (FTT).
Two years after the financial crisis there is a strong public consensus that not only should the undertaxed financial sector assume responsibility for repairing the damage it was central in causing, but also that governments should act immediately and decisively in making sure that such a crisis will never occur again.
A FTT is a measure to ensure that the attitude of the financial institutions is “never again” and not “ business as usual.”
A FTT will raise hundreds of billions of dollars per year, at least initially, that should be used to fund quality public services to support equitable social policies and job creation, fight poverty, and mitigate and adapt to the effects of climate change. It will contribute to reducing public deficits and debts and avoid the blind alley of austerity and public spending cuts.
A FTT will reduce the volume of speculative and high speed trading by shifting to long term investment, and thereby limit the risk of yet another financial and economic crisis. The fight against speculation should be a central priority of the G20 and of all governments. The financial markets must return to their original role of providing sources of capital to the real economy that serves the general interest.
[For EU affiliates to include] In March 2011, the European Parliament voted in favour of a low 0.05% rate FTT applied on a broad basis. It supports a global tax and as a first, concrete and essential step calls upon the European Union to introduce a FTT now. As the biggest financial market in the world, it makes sense that the EU should lead the way by introducing a FTT.
Such a minimal FTT will represent a tiny contribution from the financial sector and yet will provide the funding urgently needed to address two problems at once:
• how to finance ever-growing demands for democracy, social justice, equal opportunities, delivered through a quality public services and fair development agenda, and
• how to make the financial sector contribute to the resolution of the economic crisis that it caused.
In advance of and during the G20 Summit in Cannes on 3-4 November 2011, I ask you to restore fairness by speaking out in favour of a Financial Transaction Tax now.
We look forward to receiving your positive response to this request.
Yours sincerely,
Signed
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