HL Deb 13 July 2000 vol 615 c53WA
Lord Jenkins of Putney

asked Her Majesty's Government:

Whether they will consider adopting the Tobin Tax Initiative to enable the maintenance of a comprehensive welfare state. [HL3193]

Lord McIntosh of Haringey

The Government support the principle of stable international financial markets. However, it would be practically impossible to achieve global coverage and there would be huge scope for avoidance. The Government believe the reforms to the international financial architecture, as set out in the G7 Finance Ministers' report from Cologne last June, can better achieve stable capital flows. A measure such as the Tobin tax could also introduce economic distortions to the international financial system.