The initiative marks the start of deliberations between member states and the Commission on the budgetary framework for 2014-2020.
There have already been clashes between the Commission and member states after the Commission called for a 5 per cent increase in the 2012 EU budget.
With many countries pushing though austerity budgets at home, Britain, France, Germany, Finland and the Netherlands signed a letter last December demanding that the EU budget increase by less than inflation from 2014-2020.
Although it remains unclear whether the Commission envisages a Tobin tax on all financial transactions or a broader levy on financial activities, which could tax profits or a bank’s balance sheets, the proposal is expected to be welcomed by MEPs but opposed by some governments, including the United Kingdom.
Britain and Sweden are among those who are flatly opposed to a Tobin tax although they are likely to be open to a broader financial sector tax.
The Commission budget proposal is not expected to jeopardise legislative proposals on a financial transaction tax which are set to reach the Parliament in autumn.
This follows a vote in favour of a Tobin tax by the European Parliament and a long-running campaign by the Socialist group and its sister parties.
