Today MPs vote on an amendment to the Sanctions and Anti-Money Laundering Bill that would require the UK to impose a requirement on the UK's Crown Dependencies and Overseas Territories that they create registers of the beneficial ownership of companies if those places fail to do so of their own free will.
This matters. Most of the time most of what happens in Westminster appears technical, distant and remote. And, let's be honest, also rather boring because much of what is done is whipped, which means MPs vote as they are told to do by their parties. That provides much of the explanation for the low attendance in the Commons Chamber, I suspect.
But every now and again MPs get a chance to tilt the world on its axis, at least just a little. This is one such chance. Tax haven secrecy is, as I have long argued, deeply corrosive. It undermines fair competition. It creates and reinforces wealth inequality. It undermines the rule of law. It threatens democratic states' ability to tax, which effective management of their economies requires. And it aids illicit activity from sanctions busting to election rigging, crime and trafficking in all its ugly forms.
As a result if the tireless efforts of Margaret Hodge MPs have a chance to shatter this secrecy. And that would send a message to the world. First, it would say that the City of London is only open to honest business, because right now they use the tax havens to route the illicit parts.
Second, it would say the UK is a believer in fair competition.
Third, it would say that we will uphold democracy, the rule of law and the right to tax.
Fourth, it will say cheats should play no part in our society.
That's why I say:
Will it happen though? The government is fighting a furious rearguard action, but which simply promises action when the rest of the world agrees, which is no promise at all. I hope no one is conned.
For the record this is the amendment that MPs will be asked to vote on, with those supporting it already named on it:
And as a footnote, the last time the Commons was presented with such an opportunity I wrote the clause in question for the late Michael Meacher MP. It was clause 9, here. I have a very real interest in this issue.
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It looks like the Bill is wrong. As you state in your opening sentence this is about creating registers of the beneficial ownership of countries. Those MPs seem to think it’s about making that register publically accessible. Then again MPs do not have a good record on getting things right.
The registers already supposedly exist in private because these places have been required to do them to meet obligations they have entered into via the OECD
I am talking about creating public registers
The amendment talks about making existing registers public
That is the same thing
If you are to add value here please take note I have little time for BS and pedantry
I cannot see how anyone cannot support this – secrecy is the enemy of the open society!
Charles Adams says:
“I cannot see how anyone cannot support this — secrecy is the enemy of the open society!”
I can see how some people could wish to see this crushed – secrecy is the enemy of the open society.
You’re both right
Take a bow
It would we very undemocratic to attempt enforcing your laws on another country.
Jersey and the other Crown Dependaccies have no elected representative in the commons. We are a separate nation with our own legal and political systems.
If the UK were to try and flex it’s muscles in this manner the only result would be to force said nations to seek further separation.
Jersey already has registers in place and are more than willing to share them with any law enforcement agency or tax authority.
This is a pointless vote! You may as well be voting to change the law in Australia.
Jersey is not another country
It is a UK Crown Dependency
Let’s stop being silly here: and read this blog a couple of days ago. I have already explained why the UK can do this and Jersey cannot object.
Hi Richard, did you hear the article about this on Today on Radio 4 this morning? There was a BVI representative trying to spin the amendment as a new form of colonialism by the UK government.
I did not
Does anyone really believe what the BVI has to say? After all, they always deny they are a tax haven and no one believes them
Give me an example in the last 100 years where UK Parliament have forced a law on a UK Crown Dependancy.
We are not a member of the EU, we are not part of the UK! We decide our own laws in a democratic manner (which then get ratified by the privy council). If UK Parliament wants jurisdiction in Jersey, we would need to have a seat in that House!
Forcing a law like this will trigger a constitutional crisis! Like I say, the only way this will happen is if the members of the States of Jersey vote it into OUR law!
Marine Offences Act 1968
Next?
Do you mean the Marine & Broadcasting (Offences) Act 1967? If so, that was brought into effect in Jersey by the Marine & Broadcasting (Offences) Jersey Order 1967 (https://www.jerseylaw.je/laws/revised/Pages/19.240.aspx)
Next?!
It was imposed by Order in Council on the IoM
Go and do your reading
I am right….
Peter Harrison says:
“.. Today on Radio 4 this morning? There was a BVI representative trying to spin the amendment as a new form of colonialism by the UK government.”
I heard it. Tee Hee !
She was almost beside herself.
Tee here, indeed
If OTs are not selling secrecy, which they’re always telling us they’re not, then making beneficial ownership registers public will not affect their offshore business a jot…
But telling the truth may not be their forte
https://twitter.com/margarethodge/status/991303428436525057?ref_src=twsrc%5Etfw&ref_url=http%3A%2F%2Fwww.bbc.co.uk%2Fnews%2Flive%2Fuk-politics-parliaments-43951972&tfw_creator=BBCNews&tfw_site=BBCNews
https://twitter.com/margarethodge/status/991315593226784770
From the horses mouth.mro.
Indeed
humble pie for me but i will enjoy it.
We should all enjoy it
but there’s more to do as yet