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Most of the COTs have been willing not to sign on to the European Union's Draft Directive on the Taxation of Savings, but questions are being asked about the...
BVI Holding Out For UK?
Prior to last Saturday's meeting in the Cayman Islands, The British Virgin Islands was the only one of the Caribbean Overseas Territories (COT) which was willing to sign on to the European Union's (EU) Draft Directive on the Taxation of Savings Income.
BVI Chief
Minister, Ralph O'Neil
Cayman Net News has learnt that officials from the BVI originally felt that there was nothing fundamentally wrong with signing on to the EU directive, but subsequently changed their position and agreed with the other COT members to commission an economic impact assessment.
The objective of the assessment will be to determine the likely impact of any implementation of the draft EU directive on their economies.
When contacted by Cayman Net News, Executive Director of the BVI's Financial Centre Mrs. Lorna Smith declined to comment on that country's position prior to the November 22 meeting which was held in the Cayman Islands.
"It would not be appropriate for me to discuss what transpired in those private meetings, but what I think is of critical importance is the fact that the BVI was part of the communiqué and agreed with the position that was enunciated in that statement," she said.
Cayman Net News understands that after that meeting, a letter was sent to Baroness Valerie Amos and it was signed by BVI's Chief Minister the Hon. Ralph O'Neil. The contents or context of that letter could not be ascertained up to press time.
However, it is understood that other leaders from the COT are supporting the Cayman Islands' position of not signing on to the EU proposal.
When pressed to state what would have been the benefits of the BVI agreeing to sign on to the EU directive, Mrs. Smith declined comment and said that her country's position would be publicised any time after the draft report of the economic impact study is completed by mid-December.
In the communiqué, COT leaders re-affirmed that there is a willingness on the part of the COT to cooperate with the objectives of the EU based on a fair, transparent and non-discriminatory approach.
They took note of the fact that the economic impact study which the Memorandum of Understanding on Partnership for Progress and Prosperity promised and considered relevant has not been carried out.
Attending the meeting were the Honourable McKeeva Bush, Leader of Government Business, Cayman Islands Government; Honourable Ralph O'Neil, Chief Minister, British Virgin Islands; Honourable Osbourne Fleming, Chief Minister, Anguilla; Honourable John Osbourne, Chief Minister, Montserrat; Honourable Noel Skippings, Minister of Works (Deputy Chief Minister) Turks and Caicos.