Flight from France
France has become the first country in Europe to impose a tax on share purchases.
The Hollande Government is doubling the levy to 0.2 per cent from the 0.1 per cent tax advocated by former president Sarkozy.
The new budget also includes higher taxes for the wealthy and increases levies for large companies.
No one knows what the results of the new taxes will be, beyond the raising of much needed revenue. However it is predicted that there will be a flight to London by major French share dealers and financiers as there is no such tax in the UK.
In fact this could be happening already as pressure on prime London office space continues to grow according to leading consultancy, Search Office Space. “Our evidence has shown, for some time that despite current conditions demand for London office space continues to grow. It probably has several causes, but this could definitely be one of them.”