To Bank Levy or Not To Bank Levy

Créé le

18.11.2010

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Mis à jour le

05.01.2011

Banks are commonly designated as faultives in triggering the financial crisis in 2008. Hence the idea that banks must pay, either for its consequences or to prevent other difficult times. Even if the global goal is widely shared, each country has taken its own tools to implement new measures for the industry.

Lida Preyma

Director, Capital Markets Research G20 Research Group, University of Toronto

To bank levy or not to bank levy — that has been the question ever since Alistair Darling, then chancellor of the exchequer, levied a one-time tax on British banker bonuses late in 2009 and a permanent levy was later proposed by U.S. president Barack Obama in January 2010 in order to recover some of the costs of bailing out banks and financial institutions. For the United Kingdom, the idea was to raise £550 million. The US proposal would place a 0.15% levy on financial institutions with at least $10 billion in assets to raise $90 billion. Since then, the idea of a bank levy has been ...