THE GOVERNMENT is opposed to a financial transaction tax that would apply in Dublin but not in London, Taoiseach Enda Kenny has said.
The measure would only be acceptable on a global basis, he added. The Taoiseach was speaking at a news conference in Dublin Castle following the British-Irish Council summit meeting and was asked about the proposal, which is strongly advocated for the euro zone by French president Nicolas Sarkozy.
“You could not have a situation where a financial transaction tax resulted in a difference between what happens in London and what happens here in Dublin,” Mr Kenny said. “Obviously the International Financial Services Centre here is of critical importance to our economy, as indeed the City of London is very important to the British economy. We’ve made it very clear that that would not be acceptable to us. Obviously, in a global sense, a financial transaction tax, were it to be agreed by everybody, would be acceptable.”
British deputy prime minister Nick Clegg said: “When you’re in an economically precarious position, as the whole European continent is, I just somehow don’t think the priority should be a measure which its proponents admit would lead to significant levels of unemployment for thousands of people.”
Also at the conference, Scotland’s first minister, Alex Salmond, was asked about an interview he gave earlier to RTÉ where he claimed the British government was attempting to “bully and intimidate” his government over the proposed referendum on Scotland’s independence.
In a more conciliatory response, Mr Salmond said: “Once we publish the Scottish government’s consultation document, then I am very happy to meet the prime minister, the deputy prime minister, in Edinburgh or in London or wherever, to talk through these things in a positive way.”
Mr Clegg said he was not aware of Mr Salmond’s remarks about bullying: “But look, I don’t think Alex, if that is what he said, should be so jumpy.”
Asked how he felt about the possibility of an independent Scotland, the Taoiseach said he had “no intention of getting involved” in commenting on the matter.
“People are well able to make up their own minds whatever they want to do,” Mr Kenny said.
Expressing concern over moves towards Scottish independence, Northern Ireland First Minister Peter Robinson said: “I speak as a unionist but also as an Ulster Scot. Clearly I have a massive interest in what happens and what decision the people of Scotland will take.”
In a joint communique, the council welcomed the establishment of a standing council secretariat in Edinburgh, which became operational as of January 4th.
The summit discussed youth unemployment and a discussion paper entitled Recovery from Problem Drug Use was delivered by Minister of State for Primary Care Róisín Shortall.
At a later bilateral meeting in Iveagh House, Mr Clegg and Minister for Foreign Affairs Eamon Gilmore signed a memorandum of understanding for closer co-operation on consular matters during international crises.
As part of the agreement, a staff exchange programme will be instituted between the Department of Foreign Affairs and the British foreign and commonwealth office.
The British-Irish Council was established under the 1998 Belfast Agreement to advance relations between the governments and regional administrations of Britain and the island of Ireland.