Australia’s Treasurer Scott Morrison insists he’s not expecting a fight from Australia’s big banks despite announcing a surprise levy on Tuesday night’s annual budget.
Australia’s budget will impose a levy of 6 basis points on banks with liabilities in excess of $100 billion Australian dollars ($74 billion) in an attempt to raise more than A$6 billion over the next four years.
“This is the bank’s contribution to the budget repair task; it’s something that happens in the U.K. and Europe and brings Australia in line with other jurisdictions.” Morrison told CNBC in the budget lock up
Australia’s Treasurer Scott Morrison insists he’s not expecting a fight from Australia’s big banks despite announcing a surprise levy on Tuesday night’s annual budget.
Australia’s budget will impose a levy of 6 basis points on banks with liabilities in excess of $100 billion Australian dollars ($74 billion) in an attempt to raise more than A$6 billion over the next four years.
“This is the bank’s contribution to the budget repair task; it’s something that happens in the U.K. and Europe and brings Australia in line with other jurisdictions.” Morrison told CNBC in the budget lock up.
“Banks make around A$30 billion in profits and it’s 6 basis points. Banks see more than that move in a week.” Morrison added.