Wednesday paper round-up: IMF proposes two new global bank taxes

21st Apr 2010 06:33

The IMF is proposing a double-tax regime for banks that would fund future bailouts and penalise both the profits and pay of lenders.The proposal emerged in a leaked confidential document prepared for the G20 meeting of finance ministers to be held this week in Washington. The IMF wants two separate taxes on banks to address the huge burden of support after the 2008 financial crash. According to the fund, unrecovered costs of bank rescues in the most affected G20 countries represent 4% to 5% of GDP, the Times reports.Britain finally re-opened its airports on Tuesday night after authorities reassessed the risks of the cloud of Icelandic volcanic ash that brought much of Europe's skies to a standstill over the previous six days. The move came amid mounting frustration from airlines who spent the day watching countries across Europe allow their airports to re-open as the volcano ash cloud dispersed, while Heathrow and other large UK airports remained shut, the FT reports.Fabrice Tourre - the bond trader at the heart of Goldman Sachs' fraud case - was on Tuesday barred from working in the City of London in the first 'victory' for financial regulators on both sides of the Atlantic. Mr Tourre - accused of mis-selling a complex parcel of toxic mortgages to the bank's own clients while another client was shorting them - was removed from the Financial Services Authority's register, in a move which overshadowed Goldman's bumper $3.46bn (£2.25bn) profits in the first quarter, the Telegraph reports.Tesco plans to open the equivalent of 80 superstores in Britain this year ? more new shop space than its three biggest rivals combined. The move to increase selling space by two million square feet is likely to spark fury from campaigners who criticise the dominance of Britain's biggest supermarket group. Tesco has increased its target for new selling space by 20% as it seeks to reinforce its dominance of the UK market. It has added the equivalent of the entire Waitrose chain to its British portfolio in the past two years, the Times reports. Profits at Apple jumped 69% in the first three months of the year as consumers across the world continue to fall in love with the iPhone. The US technology powerhouse reported pre-tax profits of $4bn (£2.6bn) against $2.4bn a year earlier, on sales up $3.5bn to $13.5bn. The results far exceeded analysts' expectations sending the shares up 5% to $258 in after-hours trading, the Telegraph reports.Game Group is likely to announce that its two most senior executives are quitting the business when it reports its annual results on Wednesday. Lisa Morgan, chief executive, is thought to be stepping down immediately, while Terry Scicluna, the chief operating officer, is also likely to leave following the appointment of Chris Bell, former chief executive of Ladbrokes and senior independent director, as interim chief executive, the FT reports.A senior Nomura banker who was instrumental in its takeover of former Lehman Brothers operations has quit as part of a management shake-up. Christian Meissner lost out in a power struggle with another former employee of Lehman, William Vereker, who has been promoted to the joint global head of Nomura's investment bank alongside Hiroyuki Suzuki, the Times reports.Thousands of long-serving staff at Aviva were told yesterday that their future pension benefits would be watered down. The insurance company announced plans to close its final-salary scheme, offering active members the chance to join an inferior defined-contribution scheme instead. The move will affect 5,600 employees at Aviva, formerly Norwich Union, and an additional 2,000 staff at its RAC roadside rescue division. However, the changes will not affect the most senior executives, who receive pensions in a separate plan, the Times reports.More than 3.5 million students and graduates face a hefty increase in their student loan rates later this year after an unexpected surge in inflation last month. Interest rates on student loans are linked to the retail price index (RPI) each March. Official figures published yesterday showed that this measure of inflation jumped to an 18-month high of 4.4%, the Times reports.Corporate governance consultant Pirc yesterday fired an early shot in what is expected to be one of the stormiest annual meetings seasons in years, urging its clients to vote against Barclays' remuneration report. In an "alert" to clients yesterday, Pirc - which advises pension funds and other investors on voting decisions - said the rewards offered by the bank were "potentially excessive" and highlighted the pay of its increasingly controversial investment banking chief, Bob Diamond, the Independent reports.