NAPF responds to report on FTT by the House of Lords EU Committee

Commenting on the report on the proposed EU Financial Transaction Tax  (FTT) published today (Tuesday) by the Economic and Financial Affairs sub-committee of the House of Lords European Union Committee today, James Walsh, Policy Lead: EU & International, NAPF, said:

“The real problem with this new tax is that it would hit pension funds and savers in the UK, not just in the 11 participating countries. The FTT would apply when UK pension schemes buy shares in companies or do business with banks based in the 11 FTT Member States. 

“The FTT has made slow progress due to disagreements between the 11 participating nations, but it would be a mistake to think it is slipping off the EU agenda. The new German Government has made a clear commitment to the FTT. Even though Germany is indicating there will be an attempt to protect pensions, the way is now clear for negotiations to re-start.

“EU policy chiefs should be looking for ways to encourage saving and extend workplace pensions to the 60 per cent of EU citizens who currently have no access to one. Taxing saving more heavily will not help.”

Notes to editors:

1. The NAPF is the leading voice of workplace pensions in the UK. We speak for 1,300 pension schemes with some 16 million members and assets of around £900 billion. NAPF members also include over 400 businesses providing essential services to the pensions sector.

Contacts:

Lucy Grubb, Head of Media and PR, 020 7601 1726 or 07713 073023, [email protected]
Aimee Savage Richards, Press Officer (interim), 020 7601 1718 or 07825 171 446, [email protected]