The Cyprus bailout includes a rather draconian one-off 'tax':
Savers with under €100,000 deposited must pay 6.75%
Savers with more than €100,000 deposited must pay 9.9%
Savers will be compensated with the equivalent amount in shares in their banks
What a fine reward for prudence. Once again anyone who has actually saved some money and not spent beyond their means gets penalised, and penalised harshly.
How sure are you that David Cameron wouldn't try this in the UK?
How about a Labour/LibDem coalition? Do you think Ed Balls and Vince Cable wouldn't try this little trick?
Really?
If Labour are the largest party in the House of Commons after the next general election I suggest withdrawing your money from the bank before Ed Balls thinks he'd like to take 10% of it to help reduce the deficit that he and Gordon Brown created. Presumably Labour and LibDem MPs would be exempted from the tax, along with BBC management andpropagandists journalists.
Savers with under €100,000 deposited must pay 6.75%
Savers with more than €100,000 deposited must pay 9.9%
Savers will be compensated with the equivalent amount in shares in their banks
What a fine reward for prudence. Once again anyone who has actually saved some money and not spent beyond their means gets penalised, and penalised harshly.
How sure are you that David Cameron wouldn't try this in the UK?
How about a Labour/LibDem coalition? Do you think Ed Balls and Vince Cable wouldn't try this little trick?
Really?
If Labour are the largest party in the House of Commons after the next general election I suggest withdrawing your money from the bank before Ed Balls thinks he'd like to take 10% of it to help reduce the deficit that he and Gordon Brown created. Presumably Labour and LibDem MPs would be exempted from the tax, along with BBC management and
Indirectly, the UK government is trying it on, by compensating UK military and diplomatic personnel (and possibly others), and passing the cost on to UK tax payers. The UK government should not be such wimps, but should be telling the Cypriots/EU/IMF not to snatch without notice the cash of UK citizens, particularly those there on UK government business. Those personnel are more likely to have money (thir salaries) in the Cypriot branches of UK banks (Barclays/HSBC), for which there is no share compensation.
ReplyDeleteThios is all very worrying, not least because the Cypriots can expect any other country in trouble to be treated in the same way by the ECB/IMF, which will cause a run on the local banks whenever any EU government's finances look shaky.