Economy

The energy crisis in Europe  

Banks may be next in line for excess profits taxes  

 

A large number of EU countries have, must, or want to introduce a so-called "windfall tax" on energy companies. But it is not only the energy sector that is in the governments' firing line. Even the banks may face temporary taxes in the wake of the interest rate hikes, writes the Financial Times.  

 

Windfall tax is a temporary corporate tax when external economic conditions create excess profits. This winter's European energy crisis sent energy companies' profits through the roof and the rapid interest rate hikes have benefited the banks. 

 

Now, among others, the Czech Republic, Lithuania, Spain and Italy have introduced a temporary tax for banks. According to Oxfam, the Windfall tax is a popular choice because it appears to be "intuitively fair", but according to the accounting firm KPMG, it is more about covering ever-larger holes in state budgets. 

  

  

 

British succession  

Wind power provides a juicy salary increase for King Charles  

 

When Charles III of Great Britain took over the throne from his mother, he promised to slim down the British monarchy. But now the royal house's appanage will be increased by 45 percent to the equivalent of SEK 1.7 billion. This is reported by the Financial Times.  

 

The reason is that since 1964 the crown has owned an area of the sea where there are now wind farms from which the royal house receives a share of the revenue. The government has certainly halved the portion that goes to the royal house, but thanks to the boom in renewable energy, the contribution from the parks to the royal coffers is expected to reach the equivalent of SEK 110 billion until 2031.  

 

With 1.2 billion kroner, the British royal house is today Europe's most expensive, ahead of the Netherlands, Norway and Sweden.  

 

Rick Bowmer/AP  

 

The costs of the fires in Hawaii are rising  

 

The costs of the damage to homes from the fires in Hawaii are estimated so far at 1.3 billion dollars, corresponding to 14 billion kroner, according to estimates by the analysis firm Core Logic. CNN reports. 

 

The costs come from damage to 3,088 homes and Core Logic believes over 2,800 homes will need to be rebuilt. 

 

Jeff Bezos. TT 

 

Bezos donates a billion after the fire disaster  

 

Amazon founder Jeff Bezos, together with his wife Lauren Sánchez, promises to donate the equivalent of just over a billion kroner for upcoming efforts on Maui in Hawaii, where forest fires have devastated large areas. CNN reports. 

 

In a post on Instagram, Sánchez writes that they are both "devastated" and that the reconstruction will take several years.  

 

According to CNN, the forest fires have destroyed buildings worth around SEK 14 billion.  

 

Bezos, ranked as the world's third richest person according to Bloomberg, has previously said that he intends to donate the majority of his fortune to charitable causes during his lifetime.

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