It shall be the duty of the Chancellor of the Exchequer to appoint a committee of inquiry to report within 6 months on the practical action necessary to introduce a banking transactions tax.
What\’s one of them?
For the purposes of subsection (1), a banking transactions tax is a tax, charged at the rate of 0.005 per cent of the value of the transaction, on
foreign exchange dealings in sterling, and
Ah. Well, we can see immediately at least one thing that has to be done as a \”practical action necessary to introduce a banking transactions tax\”.
Repeal the 1972 European Communities Act.
To levy a tax on the exchange of currency within the EU would, you see, be a restriction upon the free movement of capital. One of the pillars of the Treaty of Rome that is and something that cannot be done without leaving the EU.
Now it is true, I\’d happily trade Ritchie\’s strange obsessions with liqudity in financial markets for being out of the EU. But I don\’t think he realises that that is the bargain he\’s asking for.