Jersey Finance Chief Slams FT Article

by Philip Morton, Investors Offshore.com

30 April 2002

The Chief Executive of Jersey Finance, Phil Austin, has hit back at a Financial Times article on the jurisdiction's role in the EU savings tax row, arguing that the newspaper's portrayal of Jersey and other offshore finance centres as recalcitrant children was 'neither fair nor constructive'.

In a letter to the FT published on Monday, Mr Austin slammed the 'Tax Entreaties' editorial which singled the Channel Island jurisdiction out for condemnation.

'To call Jersey dilatory is to reveal a total lack of awareness of its active participation in enhanced regulatory measures in the past few years,' the Jersey Finance chief argued. 'On the question of the European Union code of conduct and other EU initiatives, it should be recognised that Jersey is not part of the EU, nor is it part of the UK, so it has the right to decide for itself whether it wishes to sign up to these measures.'

Mr Austin further pointed out that of the 66 'harmful tax practices' uncovered by the EU in countries across Europe, only four apply to Jersey. 'We remain uncertain why the UK believes Jersey should be singled out on this issue when there is no evidence that we are being obstructive or uncooperative,' he added.

The Jersey Finance Chief Executive concluded his reponse to the FT article by observing that the finance industry in Jersey is confident that an agreement can be reached with the European Union on the code of conduct. However, he stressed that the needs of the Island's economy must be respected, and that the sector will require assurance that any measures required of Jersey will also be required of its competitors.

Recommended