Tax and encumbrance need rethink, says ECBC

Europe’s planned financial transactions tax will have dangerous consequences for liquidity and the real economy, covered bond bankers are set to tell regulators. They will also highlight the problems with encumbrance reporting that the European Banking Authority wants to introduce and they will say that there is no single solution to SME financing. The European Covered Bond Council will set out its response to these issues at its steering committee meeting in Lisbon at the end of the month.