Miliband gives support on financial transaction tax

Labour leader Ed Miliband has signalled his support for European proposals to introduce a financial transaction tax.

The European Commission’s proposal, announced last week, would see a 0.1 per cent charge on stock and bond trading and 0.01 per cent on derivatives contracts. The EC predicts it will raise £50bn a year.

The Government says it will resist the move unless it is implemented globally.

Speaking at a Q&A session at the Labour party conference in Liverpool last week, Ed Miliband said he would back the tax, even if it only went ahead in Europe.

He said: “We are in favour of this. It is a hard thing to do but I think it is the necessary, important and right thing to do. You have got to do it globally though for it to work, or at the very least in Europe.”

Miliband slammed the Government for failing to push for the transaction tax at a global level through the G20, despite making worldwide implementation its condition for supporting the move.

He said: “One of the Government’s biggest failures of leadership is on the international stage. It is not pushing the right solutions forward.”