“Tax on extra profits of banks will not reduce loans to households and businesses”

The tax on the extra profits of Italian banks “will not have a significant impact on the loan”, that is, on mortgages and loans to households and businesses. Dbrs Morningstar rating agency writes this in its analysis of the bill announced by Deputy Prime Minister Matteo Salvini.

Details on the measure are still lacking, but according to preliminary estimates and statements from the Ministry of Economy, the tax should be a one-off, ie related to profits between 2022 and 2023, bringing something like 3 billion into the state coffers. of the euro. Money the government wants to allocate to a fund to help citizens affected by the ECB’s rate hike.

The logic of the measure taken by the government is that banks make huge profits thanks to this interest increase. The Dbrs Monitoring analysis confirms that Italian institutions are doing well and according to the 2023 projections, any government revenue could be even higher than the 3 billion we are talking about these days. According to several experts, this measure, already implemented in Spain, could turn into a joke for Italian citizens: corporations could put pressure on loans or increase commissions from customers to offset the tax.

The possibility that the rating agency didn’t see right away: “Our view is that the one-off tax will not have a significant impact on banks’ lending, given the significant improvements in the system-wide profitability of banks in recent quarters, and it is highly unlikely. Andrea Costanzo of Dbras Morningstar,” Lending “However, if the tax becomes permanent, it could have a more negative impact on creditworthiness,” he concludes.

continue today

Source: Today IT

\