Regarding Neil Bentley’s article in yesterday’s paper on the plans for a Tobin tax, I would like to add that Norway and Switzerland would also not be affected by such a tax because they are in the European Free Trade Association (EFTA). The European Economic Area’s (EEA) free movement of goods, services, capital and people does not cover taxation.

Norway is in EFTA/EEA and the UK is in EU/EEA. Switzerland has a bi-lateral agreement with the EU, which took 10 years to negotiate. The UK has over 15,000 EU regulations, Norway only the 5,000 EEA regulations.

The CBI should ask their members if they would like a referendum: EFTA/EEA or EU/EEA? Less regulations would be like a tax cut and avoid a Tobin tax.

Also, Norway and Switzerland have around 3 per cent unemployment.

Hugo van Randwyck