Spain - Next For The Brussels Muscles?

[manxy]

Record unemployment hitting a high of 27% and not expected to fall below 26% until 2016 is a worrying sign and protests have been seen in Madrid, Barcelona and Bilbao. (link here)

 

Is this a copycat of what happened to Greece?

 

Should the population withdraw their money out from the bank in case their Government do a legalised theft from savers s like Cyprus?

 

Quote "Last week the government said it had negotiated a two year delay with Brussels to bring the deficit under control, in order to avoid further austerity measures."

 

Is it too late for Spain or what choices do they have?

[prism10]

Do you have money in a Santander owned bank?

 

Most European countries including the UK will have to go through some years of pain because of parts of the capitalist system which failed in North America and Europe.

 

At least the UK came clean that their banks had problems and we still have enough of a cutting edge manufacturing and service industry and North Sea oil to eventually pull through.

 

Some countries such as Spain, Greece may find it more difficult.

[manxy]

Do you have money in a Santander owned bank?

 

Yes

[prism10]

 

Do you have money in a Santander owned bank?

 

Yes

I expect the Isle of Man compensation system will see you through or just move money to another bank.

[Lxxx]

If I lived in Spain and was fortunate enough to have a stack of cashola in the banco I'd be withdrawing it or moving it ASAP. The bail-in rules are being rewritten across Europe, UK, US and Canada as we speak. No more bailouts, depositors will feel the pain next time around.

[prism10]

If I lived in Spain and was fortunate enough to have a stack of cashola in the banco I'd be withdrawing it or moving it ASAP. The bail-in rules are being rewritten across Europe, UK, US and Canada as we speak. No more bailouts, depositors will feel the pain next time around.

 

Given how the British banks have behaved since the bailout I am not surprised that they may be no bailout next time.

 

My own business bank manager used to badmouth Gordon Brown for shackling the finance industry a decade ago. When I mentioned the dangers of a booming house prices he dismissed it. After the banks went bust he blamed Brown for not doing enough to regulate the banks, yet a few years earlier he was boasting about their investments in the USA, the toxic loans.

[manxy]

Spain sinks deeper into recession -Link Here

Jobless had reached over 6 million to a record 27.16 per cent during the first 3 months of this year.

 

They could also clamp down on private holiday rentals and a new law is currently being debated.

 

Not good, not good at all

[prism10]

Spain sinks deeper into recession -Link Here

Jobless had reached over 6 million to a record 27.16 per cent during the first 3 months of this year.

 

They could also clamp down on private holiday rentals and a new law is currently being debated.

 

Not good, not good at all

27% for the first three months of the year. Its always the case when its low holiday season!

[twinkle]

Spain sinks deeper into recession -Link Here

Jobless had reached over 6 million to a record 27.16 per cent during the first 3 months of this year.

 

They could also clamp down on private holiday rentals and a new law is currently being debated.

 

Not good, not good at all

the spanish are screwing expats for as much as they can including their bank accounts in the uk/iom,or any assets outside of spain,which must now be declared to the spanish authorities,i know a few people that this will affect on the island,and oap,s/expats cant get out of spain quick enough if,yes if they can get rid of their property, my cousin cant get rid of theirs and its been on the market for 5 years. BEWARE cheap property deals in spain,the new taxes levied will be very expensive.

[Slim]

27% for the first three months of the year. Its always the case when its low holiday season!

 

It's never been 27% before...

[Truth Seeker]

Spain to charge tax of 0.03 percent on bank deposits. What could possibly go wrong?

 

"Spain on Friday said it would introduce a blanket taxation rate of 0.03 percent on all bank account deposits, in a move aimed at harmonising regional tax regimes and generating revenues for the country's cash-strapped autonomous communities. The regulation, which could bring around 400 million euros ($546 million) to the state coffers based on total deposits worth 1.4 trillion euros, had been tipped as a possible sweetener for the regions days after tough deficit limits for this year and next were set by the central government. Deputy Prime Minister Soraya Saenz de Santamaria announced the move at a news conference following a weekly cabinet meeting."

 

http://www.reuters.com/article/2014/07/04/spain-tax-deposits-idUSL6N0PF2SF20140704

[woolley]

Do you have money in a Santander owned bank?

Santander is required to ringfence its UK deposits. We are told that this makes it one of the most robust banks in the UK. This may give comfort, however, I wouldn't use it.

[hillshepherd]

Spain to charge tax of 0.03 percent on bank deposits. What could possibly go wrong?

 

"Spain on Friday said it would introduce a blanket taxation rate of 0.03 percent on all bank account deposits, in a move aimed at harmonising regional tax regimes and generating revenues for the country's cash-strapped autonomous communities. The regulation, which could bring around 400 million euros ($546 million) to the state coffers based on total deposits worth 1.4 trillion euros, had been tipped as a possible sweetener for the regions days after tough deficit limits for this year and next were set by the central government. Deputy Prime Minister Soraya Saenz de Santamaria announced the move at a news conference following a weekly cabinet meeting."

 

http://www.reuters.com/article/2014/07/04/spain-tax-deposits-idUSL6N0PF2SF201

 

despite all the protestations, things are NOT looking good in the peripheral countries of the EUSSR,this move will be the thin end of the wedge.

[pongo]

In many ways there is a good argument for taxing deposits. There always has been. Personally, like most people, I would obviously do everything to avoid it. But saving cash is effectively a form of hoarding. Money should be invested back into business and the economy. Hoarding money is obviously bad for the economy. Especially in an era when banks are nervous of lending. The whole point of banking should have been to expand liquidity. Banks are supposed to lend almost everything back out again. And several times over.

 

Still. The reality is that, despite all of the worst case scenarios which were postulated, the EU and the € specifically are politically more robust than before the US banking and investment crisis dragged much of the world's economy towards crisis. The biggest threat at this point would seem to be regional instability - ie that the war is getting ever closer (geographically).

[woolley]

I have heard the term hoarding used in respect of saving several times recently. Remarkable that what was at one time laudable (saving for one's future) is now frowned upon, whilst what was at one time stigmatised (taking on credit, or debt to be precise) is respectable. The reason debt is now fine is that governments have so much of it. Much more convenient to kill interest rates (and even to tax deposits), than to have to get the public finances in order. There's always the printing press after all.