EU FTT, next attempt

At a meeting of EU finance ministers yesterday the discussion turned to the introduction of the financial transaction tax (FTT) under the enhanced co-operation procedure. While still lacking even the most basic facts, a revised implementation timeline is emerging along the lines of a gradual introduction of the tax, with a first phase in place by 1st January 2016 and details thrashed out by the end of this year. Setting an end date before the fine print is known was not that successful the last time, when the FTT’s introduction was announced for January 2014. In a bid to pacify non-participating member states there is a promise of more inclusive working groups. The recently rejected case brought forward by the UK might have something to do with that. And if the FTT does come, let’s hope that the outcome can be truly harmonised to minimise the negative impacts.