Luxembourg will support Britain's legal challenge to Europe's proposed Financial Transaction Tax, the country's finance minister, Luc Frieden, said on Monday. "We are very sympathetic to the stance of the UK... We will certain bring our support to the case that has been started in the European Court of Justice," Frieden said during a question and answer session at the City Week banking conference. The British government filed a deadline day challenge to the tax at the European Court of Justice last Thursday.
Its objections stem from the fact as Europe's largest financial centre, London has the most to lose if finance firms move their trading operations to parts of the world free from such taxes.