Tough blow for Stockholm

In August 2015 the Swedish government announced plans to make Stockholm a leading financial centre in Europe. Seventeen months later, the same government has plans to levy a 15% payroll tax on the financial sector. Such a move could eliminate up to 10,000 jobs in Stockholm, according to the Swedish Bankers’ Association and consultant Copenhagen Economics.

Andreas Hatzigeorgiou, chief economist at the Stockholm Chamber of Commerce, is deeply concerned, saying the proposed tax would “knock out Sweden’s main economic artery”.