A discussion in Congress began on Tuesday about a non-binding opinion from the European Central Bank (ECB) regarding a banking tax proposed by Pedro Sánchez last July. The request came from the PSOE and United We Can offices, with the aim of forwarding the ECB’s view to the European auditor. Pedro Casares, the spokesman for the commission, explained the move to this newspaper on behalf of the Bank of Spain, which represents the ECB in the country.
The eurozone’s monetary authority has typically opposed issuing such opinions in principle, especially when they concern a tax framed as a public policy measure. The PSOE and United We Can have advanced the bill as part of negotiations within parliamentary groups to clarify the legislative path. Close sources suggest that the measure could still be approved before year’s end, keeping in mind the ECB’s likely stance and the ongoing policy adjustments in the chamber.
In recent days there has been talk about the government’s willingness to incorporate changes through the processing of the bill. The aim is to ensure the tax would not threaten financial stability and that the state would have adequate resources to fund citizen protections. Nadia Calviño, the vice president for economics, commented this week that the taxes on banking activities should not undermine financial stability and that improvements in the bill should help guarantee a stable revenue stream while maintaining necessary buffers for public support programs.
Therefore, the moment is crucial for the Congress to obtain an ECB assessment, and the ECB is expected to publish its view only after the government has had a chance to review any potential changes. Sources within the ECB indicate the government has been informed that the background of the tax could evolve during parliamentary processing, so the central bank is not eager to finalize a position prematurely. The ECB may begin work and wait to see how amendments unfold, since issuing an opinion on a bill that may still change offers little value to either side.
usual opposition
When Congress sends the request to the ECB, legal teams will treat it as the first formal step. The government council of the ECB usually confirms its view through a written procedure rather than a public meeting. The central bank may be asked to issue a decision no later than one month, except in urgent cases where a shorter timeline is justified. European regulations require consultation with the ECB to consider opinions before adopting new national laws.
Over the past weeks, eurozone central bankers have cautioned against tax measures that could restrict credit availability or raise the cost of loans for households and businesses. They warn that any tax affecting banks, credit flows, or asset solvency should be scrutinized. Pablo Hernández de Cos, governor and a member of the ECB’s governing council, has reiterated that a tax of this kind could have negative implications for credit channels, interest rates, and bank resilience, which commonly leads to a critical stance from the ECB toward such taxation.
already in the studio
In Madrid, the vice-president of the ECB, Luis de Guindos, indicated this Monday that the institution is evaluating the features of the banking tax under consideration. He suggested that the government’s decisions should be aligned with the ECB’s perspective, while acknowledging that future governance could shape the final approach. A former economy minister from the PP noted that substantive changes are unlikely to emerge from parliamentary procedures and that the ECB’s opinion would focus on how the government’s choices align with its own assessment. The ECB or the government will decide the best path after considering the opinion.
During a speech in Sabadell, the number two at the ECB spoke about the rationale sometimes offered by the executive to justify the tax. He warned that while the measure could boost banking profitability in the short term, it risks lifting liability costs for deposits and debt. That could, in turn, drive up provisions needed by banks as monetary policy shifts propagate through the economy, potentially dampening overall credit growth. The message was clear: a tax should be evaluated against its broader economic and financial stability effects, not just on immediate revenue gains. The ECB’s stance remains critical of any move that would inflame loan costs or undermine bank resilience while attempting to fund public programs.