After the last turn of Nadia CalvinoMinister of Economy, Commerce and Business, in favor of reviewing the tax extraordinary to the bank, experts warn that, if it is not modified for the better, banking entities will “increase interest rates” on loans. “The banks are going to continue giving loans to companies that can,” but they will tighten the conditions “through interest rates or commissions,” they explain.
Miguel Córdoba, professor of Financial Economics at CEU, is in favor of repealing the Temporary lien of credit institutions and financial credit establishments. An option that both the Sánchez Government and a possible PP government rule out.
Consequently, Córdoba is positioned in line with the Ibex banks, taxing income and not profits: “It would be unfair to attack profits because one company manages better than another. What doesn’t make sense is that it penalizes her for earning more, so she has to go on the income».
The best option would be «a tax that affects interest rates or, more than that, the margin that they have interest for not paying deposits. “It would be beneficial because deposits could go up.” In his opinion, where the bank “makes money is in the interest differential in relation to the volume of business and not by putting more according to the greater margin you have. That way, maybe you correct the fact that little is paid for deposits in Spain.
Another option: “The service commissions». For example, “when excessive prices are charged for transfers, for credit cards – the revolving who charge interest of 2% -, discriminate.
Calviño positions himself against repealing the Banking Tax although he opens his hand to reviewing it.
Sources familiar with the changes that Calviño has put on the table suggest that the Government could bet on raise the rate -which is currently at 4.8%, applied to “the sum of the interest margin and the commission income and expenses derived from the activity they carry out in Spain that appears in their profit and loss account-, but to the same, offer new deductions, so that the amount collected was not affected. Córdoba understands this as “fair”, since “each bank has a management policy and it is logical to try to treat each one in a different way, with discrimination.”
The bank will not follow Ferrovial
Now, other sources from the banking sector itself, specifically from two of the large banking entities in Spain, explain to OKDIARIO that they are not willing to “incur a crisis reputational, which is what would cause us to take the tax headquarters to another Member State that is friendlier than Spain”, as happened with the case of Ferrovial. A decision by a private entity to which this Executive responded with an emergency decree to prevent the departure of other companies from the selective.
“In financial services, customer loyalty is very important” and “for this reason, we are not going to risk losing them, especially with the increase in smaller banking entities in our direct competition, which lower prices to attract desperate customers.” .
2023-12-17 05:55:31
#banks #raise #rates #Calviño #soften #tax
