OT 346: Letter from Gillian Merron MP, Parliamentary Under Secretary of State, Foreign and Commonwealth Office, to the Chairman of the Committee: Offshore Financial Centres

 

As promised during last week's Westminster Hall debate on the FAC's report on the Overseas Territories, I am enclosing a copy of Michael Foot's interim report on offshore financial centres, which was published on 21 April.[1]

The Foot Review was announced in the 2008 pre Budget Report by the Chancellor. It is considering the long term opportunities and challenges facing the Overseas Territories and the Crown Dependencies as financial centres. It is not a tax review, but will consider the Territories' arrangements for risk management and mitigation, where their ability to support financial stability is related to their tax practices.

There are no recommendations in the interim report, but instead it outlines key emerging themes and includes a number of questions, which will form the basis for consultation with interested parties. We hope that a wide range of stakeholders will submit evidence. Mr Foot will review the evidence, and aims to draw his conclusions together for a final report to issue in the autumn.

The fact that the Chancellor has instigated this Review is an indication that HMG takes its responsibility towards the Overseas Territories and their role as offshore financial centres very seriously.

 

28 April 2009

 

 

 

 

 

 

 

---

[1] Not published as already in public domain.