Global Policy Forum

Following the French example whose parliament recently voted in favour of a Tobin Tax , Harry Barnes, Labour MP tabled a motion in favour of the installation of such a tax. Mr Barnes' motion has attracted the initial support of a number of personalities from 6 different political groups, including former ministers: Peter Bottomley (former Conservative Northern Ireland and Transport Minister), Jenny Tonge (Liberal Democrat Spokesperson on International Development), Adam Price (Plaid Cymru), Lady Sylvia Hermon (Ulster Unionist Party), Eddie McGrady (Social and Democratic Labour Party), John Battle (former Labour Foreign Office Minister and member of the International Development Select Committee), Tony Worthington (former Labour Northern Ireland Minister and member of the International Development Select Committee), Tony Colman (Labour member of the International Development Select Committee, Helen Clarke (Labour member of the Environmental Audit Select Committee), David Chaytor (Labour) and Bob Russell (Liberal Democrat).

The Commons motion is part of a concerted campaign led by War on Want to win backing for Tobin. A Commons reception on Tobin was hosted on Tobin Tax Day on 13 March at which a cinema advert was screened. The advert, with the voice-over being done by the actor Ewan McGregor to the music of Radiohead, has been censored for television because of its political message. Who knows, next might be the World Call of artists for the Tobin Tax!

Text of the motion :

Tackling Global Poverty
That this House notes that International currency transactions total more than $1 trillion a day and that the vast majority of this is unrelated to the real economy of tangible trade goods and services;

Believes that such enormous speculative flows have contributed to serious economic damage to countries and regions such as Mexico (1994), Southeast Asia (1997), Russia (1998), Brazil (1999) and Argentina (2001);

Further believes that a small levy on such currency speculation, the Tobin tax, named after the Nobel Laureate who originated the concept, could both dampen down the scale and scope of speculation and raise substantial revenues, potentially in excess of $50 billion each year, for projects targeted towards ending global poverty; Is pleased that this initiative now enjoys the backing of a number of governments and parliaments across the world, including France, whose parliament recently passed a law authorising its implementation;

Is heartened by the words of the Chancellor that innovative ways need to be urgently found (including currency taxes) to finance development;

Wishes the Chancellor a successful mission to the UN 'Financing for Development' conference in Monterrey, Mexico; urges him to take steps towards the introduction of an internationally co-ordinated Currency Transactions Tax, with the proceeds ring-fenced for international sustainable development objectives;

And further urges the Chancellor to ensure that these proceeds do not replace either existing international aid disbursements, or agreed commitments to increase international aid.

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