Isle Of Man Becomes Bank Of Ireland’s Offshore Headquarters

by Jason Gorringe, Tax-News.com, London

14 February 2005

Bank of Ireland has decided to make its Isle of Man subsidiary the headquarters of its offshore operations, it has been reported.

The move has meant that the back-office work force in the Isle of Man branch has increased by nine employees to a total of 40 people, while its deposits have doubled to around £2 billion, according to the Isle of Man Online.

However, the decision has meant a scaling down of the bank’s Guernsey branch, Bristol & West International, which now acts purely as a sales and marketing operation, and has become a branch of the Isle of Man company.

This further depletes the Bank of Ireland’s presence in the Channel Islands, after its Jersey operation was discontinued four years ago.

Roly Alden, head of the bank’s Isle of Man subsidiary, noted that while the group had been aiming to transfer around 80% of accounts from Guernsey to the Island, it has succeeded in transferring about 93% of accounts.

Alden added that larger premises in the Isle of Man were a key motivation for the Bank of Ireland’s decision to transfer its operations to the jurisdiction, although he also cited wage costs, which were around 15% higher in Guernsey.

“Also it is easier to bring people into the Island,” he observed.

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