Written question asked by Stephen Hesford (Labour) on Monday, 24 May 1999, in the House of Commons. It was due for an answer on Monday, 21 June 1999. It was answered by Patricia Hewitt (Labour) on Monday, 21 June 1999 on behalf of the Treasury.

Treasury

Question: To ask Mr Chancellor of the Exchequer, what plans he has to introduce a tax on currency speculation; and if he will make a statement.

Answer: Mr. Hesford: To ask the Chancellor of the Exchequer what plans he has to introduce a tax on currency speculation; and if he will make a statement. [85620] Ms Hewitt: The Government have received proposals for a tax on international currency exchange. This idea has a number of practical difficulties, including the problem of achieving global coverage and the scope for avoidance. We have considered carefully whether these difficulties can be overcome, but our work so far suggests that they cannot. Consequently, we have doubts that the tax would achieve our shared objective of a stable international financial system.

Secondary information