Some EU member states have commented on the intention of a number of member states to go ahead with the introduction of a financial transactions tax (FTT) under the EU’s enhanced cooperation provisions. The member states that are not participating in the FTT are concerned about the impact of the tax on their own economies.

Luxembourg’s Finance Minister has suggested that the European Commission should do more to show that the introduction of this FTT will not unduly affect countries that are not participating. The Dutch Finance Minister is concerned with the effect of the FTT on pension funds in his country. Dutch business generally considers that the FTT would be an obstacle to economic growth and be a problem for enterprises and for pensioners.

Austria, Belgium, Germany, Estonia, Greece, France, Italy, Portugal, Slovakia, and Spain have agreed to a phased launch of the tax, using the enhanced cooperation provisions of EU law, beginning with transactions in shares and some derivative instruments. The FTT is scheduled to become effective in 2016.