UK to resist EU financial tax

Bank shares have fallen in London after the UK said it would resist a financial transaction tax on EU members proposed by the European Commission.



The tax would raise about 57 billion euros a year and would come into effect at the start of 2014.



At close of business yesterday, Royal Bank of Scotland was behind by 3.64 per cent, Lloyds Banking Group by 2.4 per cent, and Barclays by 1.22 per cent.



London would be hardest hit by the tax as the majority of banking transactions in Europe come through the city.