A tax of just 0.05 per cent on financial transactions made by finance institutions could raise hundreds of billions of dollars annually. The global financial crisis has caused suffering for many people and this tax may help stabilise the global financial system by suppressing short-term speculative financial transactions.
The tax is expected to raise around $400 billion a year, and the Robin Hood Tax campaign is calling for half of this money to be used domestically and half internationally.
Internationally it would be equally split between development and climate change adjustment, while domestically the proceeds of the tax could help schools, hospitals and valuable national public services.
One of Robin Hood's merry men in Sydney building support for the tax
The global financial crisis is continuing to clobber those who did least to create it. ActionAid believes a tiny tax on 'wholesale' financial markets is an important part of addressing that imbalance. A Robin Hood tax will raise billions towards fighting poverty and help people living in poverty to claim their human rights to a life of dignity.
The world has suffered major recession caused by a crash in the financial system, and global support for the Robin Hood Tax is building. UK Prime Minister Gordon Brown, German Chancellor Angela Merkel and French President Nicolas Sarkozy have been promoting a tax on financial transactions. Also on board are renowned economist and poverty campaigner Jeffrey Sachs, former Chief Economist of the World Bank Joseph Stiglitz, and US businessman extraordinaire Warren Buffet.
