Global Banking Directory 2.0
Press Release Distribution Service
Add Bank | Banking Forum Online
BankDEP Crypto Bank
BanksDaily on Twitter BanksDaily on LinkedIn BanksDaily on Instagram

Financial and Banking News

Britons face Nicolas Sarkozy tax rise to fund French welfare plan

Financial newsPresident Sarkozy will face accusations that he is turning his fiscal policy on its head today when he announces an increase in tax on investment revenue to finance a back-to-work programme.

The 1 per cent rise on share, property rental and other investment income is designed to help to pay for the French President's promise to end the so-called welfare trap, in which it can be unprofitable for jobless people to return to employment.

The tax will be wide-ranging and could affect thousands of Britons who let their properties in France in the holiday season. Critics argue that the move signals the death of Mr Sarkozy's tax-cutting crusade as he struggles to implement Blairite electoral pledges while trying to limit the €50 billion French budget deficit.

The tax increase, which officials hope will generate about €1.5 billion a year, will bring the total tax rate on investment revenue to 30 per cent. Opponents say that it flies in the face of Mr Sarkozy's attempts to encourage wealth creation and to tempt back French tax exiles from Britain, Switzerland, Belgium and elsewhere.

Dominique Paille, spokesman for Mr Sarkozy's Union for a Popular Movement, said, that the new benefit "is a good means for those in difficulty and in a precarious situation to find stable and lasting work again and, therefore, it deserves solidarity from everyone".

The Revenue de Solidarite Active is designed to ensure that the income of welfare claimants rises when they find employment. At present some people are better off on benefits than in a low-paid job - a disincentive to get off the dole, many economists say.

Under the new scheme, claimants will be able to keep benefits equivalent to 60 per cent of their salary after they start work. An average couple on low wages with one child would be €224 a month better off.

Mr Sarkozy's scheme is likely to apply to up to four million people and cost about ˆ8.5 billion a year. The Government will find €7 billion a year by abolishing some existing benefits. The French economy contracted by 0.3 per cent in the second quarter and jobless levels are expected to rise from 1.9 million over the next 12 months.

Source: TimesOnLine
Date: 30.08.2008 [187]
Get your content published on in just a few clicks.

Financial and Banking News
 Post-Pandemic Economic Recovery: Key Factors Driving Growth and Stability

The COVID-19 pandemic caused a global economic halt, resulting in disruption, job losses, and uncertainty. However, as vaccination efforts progress and countries adjust to the new normal, there is hope for an economic recovery.

 Wiki Finance Expo Sydney 2023 Is Coming Soon!

Regulation, Forex, Crypto, Web 3.0, Metaverse, AI, ESG Will Be in Focus. Taking place on November 16th, Wiki Finance Expo, Sydney 2023 is Aussie largest and most anticipated fintech event of the year. 30.10.2023 | Source: WikiExpo

 Blockchain Economy Dubai Summit 2023: Just Two Weeks Away and Buzzing with Anticipation

Dubai, UAE - The Blockchain Economy Dubai Summit is generating palpable excitement within the blockchain and crypto communities, with only two weeks remaining until the event. Scheduled for October 4-5, 2023, at the Le Meridien Dubai Hotel & Conference Center, this prestigious event gathers over 3,000 blockchain entrepreneurs, crypto enthusiasts, and industry leaders from 85 countries. 20.09.2023 | Source: Teklip

 📰 News Archive

2007-2024 © | All Banks in One Place | Privacy Policy