Banks, Estonia, EU – Baltic States, Financial Services, Labour-market

"This is not the first time that the subject of tax increases is raised in Sweden and it could also be part of a tax policy game. We also cannot ignore the fact that a difference between the Baltics and Sweden when it comes to taxes has existed for a long time," told FinanceEstonia manager Rauno Klettenberg.

He said that hence the argument of lower labor costs is not the only factor that influences the number of banking jobs.

"It's true that, theoretically, a potential tax rise in the financial sector of Sweden would offer the banks active in Estonia and the Baltic countries an opportunity to have jobs transferred here," the manager of FinanceEstonia said.

"I'm convinced that there are sufficient competencies in the Baltics for this to happen successfully. The positive examples that we have on our market exist in the fields of back-office and support services, for instance, where jobs have been relocated already. The final decision however is made by the financial institutions themselves based on their strategy," Klettenberg said.

The Swedish Bankers' Association has said the planned tax targeting the finance industry would put some 16,000 jobs at risk.

The association's managing director Hans Lindberg said the extra payroll tax could make Swedish banks look more to the Baltic countries. Four large Swedish banks already employ 13,000 people in the Baltic countries, where labor costs make up just one-third of the labor costs of Sweden, he said.