Austrian Bank Levy: “Penalty Gone Wild”

People ♦ Published: January 22, 2014; 11:23 ♦ (Vindobona)

On the basis of a new method of calculation around € 90m more in bank levy should be generated compared to the previous year.

Austrian Bank Levy: “Penalty Gone Wild” / Picture: © Erste Group / Andi Bruckner

The government has planned revenues of € 640m. CEO of Erste Group Andreas Treichl criticizes the levy, calling it a “penalty gone wild”. On top of the regular bank levy the downsizing fund and the deposit guarantee will be added from 2015 on. In total, an additional amount of € 250m annually will have to be paid by the Austrian banks, as announced by Ewald Nowotny, governor of…