Vote on financial transactions tax is a sign of the times
When I was a Member of the European Parliament, back in prehistoric 1999-2004 (before the collapse of financial markets, Arab dictatorships and Japanese nuclear facilities), support for a financial transactions tax (FTT, or ‘Tobin tax’ as it was then better known) was limited to a hardcore of Socialists, Greens and former Communists.
Last week, the European Parliament voted to back just such a tax. A report by Greek Socialist Anni Podimata was adopted by a large majority that included most of the centre-right EPP and liberal ALDE groups. MEPs even voted by 361 to 298 for a centre-left amendment saying that in the absence of a global agreement, the EU should go ahead and introduce the tax anyway. French and German members of the EPP group and French and Italian members of the ALDE group handed the centre-left its victory. Interestingly, the two parties in the German coalition government did not vote the same way, with German FDP members voting against the tax.
How do we know all this? Because there’s a website, www.votewatch.eu, that keeps track of MEP voting behaviour and provides regular analyses to a Brussels audience. Today Votewatch.eu organised a debriefing on the FTT at the Centre for European Policy Studies, where it is based. The Socialist rapporteur was there, as was her EPP shadow, former Commissioner Danuta Hübner. The room was packed with staff of the EU Institutions, diplomats, representatives of the financial services industry and consultants.
Considering that the report adopted last week is not legally binding, it was quite a turnout. But legally binding it may as well have been. Following last year’s financial crisis, and armed with its new powers acquired under Lisbon, the Parliament now shows real muscle when it wants to. When the Parliament votes by a large majority to back a measure that until recently was considered just an odd leftwing hobby, the Commission and member states had better sit up and listen.
The Votewatch.eu presentation at today’s event, which was later circulated to all participants, can be found here.
