Jersey brands Miliband’s criticisms as inaccurate

Jersey Finance has spoken out against Labour leader Ed Miliband’s criticisms and calls to the EU to take action against all British Crown Dependencies.

Mr Milband wants the Government to clamp down on tax havens in the Channel Islands and also raise the issue at EU-level as it looks at ways to reduce the deficit.

Jersey Finance published as strongly worded statement in reply noting its disappointment when political leaders make inaccurate accusations about Jersey without reference to the “positive contribution that Jersey and the other Crown Dependencies make to the broader UK economy. Once again the confusion between the terms ‘tax avoidance’ and ‘tax evasion’ creates a false impression of Jersey’s co-operative, well-regulated offshore financial centre.”

Jersey Finance reinforces this by highlighting the recent recognition the Island has earned from the world’s international regulatory authorities. “The characterisation of Jersey as a ‘tax haven’ fails to recognise the regular endorsements that the island has received from the OECD and IMF. Moreover the accusation made today that Jersey is not co-operative with the HMRC is quite simply wrong. Jersey has signed both a Tax Information Exchange Agreement (TIEA) and a Double Taxation Agreement (DTA) with the United Kingdom. Jersey has very clear, open and transparent lines of communication with HMRC and is fully co-operative on tax matters. We also work alongside the UK in fighting financial crime and tax evasion.”

Along with this statement, Jersey’s Chief Minister Ian Gorst extended an invitation to Miliband to visit the island in order that he may learn first hand how Jersey actually operates “as a stable, reliable and responsible international financial centre.