Gibraltar Bankers' Report Cites EU Savings Tax Directive As Major Concern

by Amanda Banks, Tax-News.com, London

20 January 2004

In its annual report for 2003, the Gibraltar Bankers’ Association cites the European Savings Tax Directive and an “insidious” campaign by outsiders to sling mud in the direction of the jurisdiction’s financial sector as the major causes for concern in the months ahead.

“As had been anticipated, 03 was an interesting year and certainly one to remember,” noted the report, acknowledging the turbulent market conditions caused by the Second Gulf War, among other factors.

“As if that was not enough, we in Gibraltar continue to face an uneven playing field as well as an ongoing and insidious campaign by many to misinform on and destabilise Gibraltar as a jurisdiction,” stated the report.

It continues: “The issues we are facing continue to worry many. Our biggest enemy is instability and the EU Savings Directive and Tax Reform continue to be at the forefront of the cause. Our neighbour has shown that it too can continue to play a role in creating instability, either because of the constant attacks on our jurisdiction’s reputation or by seeking any lame excuse to disrupt the flow of commerce at the border.”

However, the Bankers' report also sounded a more optimistic outlook for the jurisdiction going forward. “Despite all of this it is easy to forget that the Finance Industry continues to be buoyant and that there are more HNWI/mass affluent individuals migrating to Spain and Portugal than ever before. We continue to develop and take advantage of the opportunities that arise because of our unique position, our historic links or indeed our geographic position and long may that last.”

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