European Round Up

Italy

Italy is looking at possible compensatory measures to help retailers pay card fees following its change of heart on reducing cash limits. The 2023 budget has approved a measure imposing a levy on payment firms and banks if they don’t lower fees on electronic transactions for shop keepers.

The Budget amendment will see the government seeking to broker a deal between banks, payment providers and retailers lowering electronic payment fees on transactions up to a value of €30. This would only apply to businesses with an annual revenue up to €400,000.

If agreement is not reached by 31 March 2023, a ‘solidarity contribution’ equivalent of 50% of the net proceeds from those transactions will be charged.

Greece

The Greek papers noted from the ECB’s SPACE report that one in three Greeks are paid in cash, ranging from 25% to 75% of their income. The papers suggest tax evasion is the reason.