Italy’s deputy prime minister suggested on Friday that banks and energy companies should be ready to bring forward tax payments to help boost public finances without an official tax hike.
The proposal comes from Antonio Tajani, who serves as both deputy prime minister and foreign minister. He made the comments on the sidelines of the annual TEHA Ambrosetti business forum in Cernobbio.
The extra support could help fund next year’s budget. It would also provide funds for any further measures designed to shield households from high energy prices.
Tajani told reporters that any policy should be modelled on an accord Italy reached last year with banks and insurers to advance tax payments to the state.
The official noted that Italy recently reached an agreement with large energy companies to advance tax payments. This deal was used to help the government fund the extension of a cut in fuel excise duties.
According to the filing, the 2026 budget already includes an expected €11 billion in revenue from banks and insurers via higher regional production taxes and limits on deferred tax asset use.
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Political tensions exist within the coalition government. Tajani’s Forza Italia party has traditionally opposed proposals by coalition partner The League to tax windfall profits of financial or energy firms.
Tajani argued that taxing profits is fair, but he warned against measures that would frighten markets. He suggested that raiding banks is something “for bandits” and advocated for agreed solutions instead.
He stated that banks and insurers as well as large oil firms must give a contribution in times of need. The deputy prime minister rejected the idea of slapping new taxes on them in a way that causes market volatility.
Despite these concerns, the deputy prime minister acknowledged that when setting to work on next year’s budget, the government will talk to banks if there are any emergencies.
For businesses operating in Italy, the situation highlights the ongoing pressure to balance immediate fiscal needs with long-term market stability. Companies that have previously handled these voluntary advance payment schemes might find themselves on the hook again, as the government seeks to plug budget gaps without passing the burden directly onto individual taxpayers through new legislation. This approach forces private sector entities to absorb some of the cost of public debt, effectively treating their tax liabilities as a flexible financing tool for the state. [1]High-Yield Maturity Unveils Hidden Reinvestment Risk
Tajani concluded that the winning strategy is the one the government pursued with banks and insurers. He emphasized that the goal is to secure contributions without sparking a market reaction.
