Oral Answers to Questions

James Duddridge Excerpts

Tuesday 23rd February 2016 Commons Chamber

[Nic Dakin (Scunthorpe) (Lab)]

11. By what date he expects to have set a timetable for overseas territories with financial centres to adopt central registers of beneficial ownership or similarly effective systems.

[The Parliamentary Under-Secretary of State for Foreign and Commonwealth Affairs (James Duddridge)]

I had productive discussions at the Joint Ministerial Council with leaders of the overseas territories in December. We agreed progress on implementing central registers, and equally effective systems should be kept under continuous and close review. Discussions are still ongoing, but I want to see significant progress ahead of the anti-corruption summit that will be hosted by the Prime Minister in May.

[Nic Dakin]

Will the Minister confirm that the overseas territories and Crown dependencies will attend the summit? Will we do our part to make sure that we secure their commitment to clean up their act and make company owners public?

[James Duddridge]

Final invitations for the summit have not yet gone out, but discussions are very much ongoing. In fact, the director for overseas territories and the National Crime Agency are currently visiting the Cayman Islands and British Virgin Islands to thrash out some of the detail that is needed.

[Nigel Mills (Amber Valley) (Con)]

Does the Minister expect the registers to be publicly available, or will they be closed registers that can be accessed only by the relevant authorities?

[James Duddridge]

There will be open registers available for law enforcement agencies to interrogate. There will not be publicly open registers. That is a long-term aspiration, but initially we want there to be access for law enforcement agencies. That will create greater transparency and reduce corruption and terrorist payments.

[Catherine West (Hornsey and Wood Green) (Lab)]

In April 2014, the Prime Minister said:

“I believe that beneficial ownership and public access to a central register is key to improving the transparency of company ownership and vital to meeting the urgent challenges of illicit finance and tax evasion.”

Nearly two years have passed and there still appears to be no timetable for transparency arrangements in respect of the financial centres. Why is that?

[James Duddridge]

There has been much progress, which the hon. Lady dismisses too readily. There are checkpoints. Only last week, I spoke to overseas territory leaders. There are people out there at the moment and we hope to crystallise some of the improvements before the May summit on corruption. That summit was called by the Prime Minister and will be held here in London, which demonstrates the British Government’s commitment to this important issue.

[Catherine West]

Will the Minister tell the House the exact date by which he expects overseas territory financial centres to ensure that there are proper transparency arrangements, or will we continue to hear more excuses for inaction in the years to come?

[James Duddridge]

This is a matter of direction, rather than an ultimate destination. We will constantly ask the international community to do more to create greater transparency, but it is crucial that the international community, whether it is the Crown dependencies, the overseas territories or other overseas Governments, move together on this, because we want to eliminate the problem of corrupt and untransparent moneys, rather than shift it from territory to territory.

[Mr Speaker]

I remind colleagues that in topical questions, there are supposed to be quick-fire questions and quick-fire answers.

--- Later in debate ---

[Stephen Phillips (Sleaford and North Hykeham) (Con)]

T2. My hon. Friend the Minister for Africa will be aware that the Tanzanian electoral commission annulled the general election results in Zanzibar at the back end of last year, and there has been increasing electoral violence in Zanzibar as we head towards the poll on 20 March. What representations will we make to the Tanzanian Government to ensure that the poll passes off peacefully, and that we do not return to the violence of 2000 and 2001?

[The Parliamentary Under-Secretary of State for Foreign and Commonwealth Affairs (James Duddridge)]

We are deeply concerned by the decision of the Zanzibar electoral commission to annul the elections for the Zanzibar presidency, and indeed the House of Representatives on 28 October. Our position was set out in a statement by the British high commissioner on 29 October, and we have raised those concerns at the highest level, including when the Foreign Secretary made a telephone call to then President Kikwete in October and my telephone call to the new Foreign Minister Mahiga in December, and the Under-Secretary of State for International Development, my hon. Friend the Member for Ruislip, Northwood and Pinner (Mr Hurd), met the same individual in January. I hope to visit Tanzania in the coming months and reinforce those points in person.

[Angela Rayner (Ashton-under-Lyne) (Lab)]

T3. Given the Minister’s response to earlier questions relating to the benefit to the UK of remaining in the EU, is it not a real concern that many of his Government colleagues would put our security and economic future at risk by a Brexit?

--- Later in debate ---

[Chris Heaton-Harris (Daventry) (Con)]

T5. What assessment has the Department made of the security situation in Burundi, and what steps have been taken to bolster the presence of Her Majesty’s Government in Bujumbura?

[James Duddridge]

In response to the crisis, the UK has stepped up humanitarian support to refugees fleeing Burundi, providing £14 million to Tanzania and £4 million to Burundi. The Under-Secretary of State for Foreign and Commonwealth Affairs, my hon. Friend the Member for Bournemouth East (Mr Ellwood), and I have also decided to recruit a full-time Burundian co-ordinator, based in Bujumbura. That will be good news as I know that hon. Members—including my hon. Friend the Member for Stafford (Jeremy Lefroy)—have been pressing Her Majesty’s Government to do that, and it will be welcome news on both sides of the House.

[Stephen Kinnock (Aberavon) (Lab)]

T7. On 12 January, the Secretary of State told this House that China’s claim to be treated as a market economy should be judged through the prism of steel. Given that 70% of the Chinese steel industry is owned by the Chinese Government, will the Secretary of State now confirm that China should emphatically not be granted market economy status?

--- Later in debate ---

[Henry Smith (Crawley) (Con)]

With the United States wishing to continue its military presence on Diego Garcia for a further 20 years, what discussions is the Foreign and Commonwealth Office planning to have with Washington about helping to facilitate the right of return of the Chagos islanders to the British Indian Ocean Territory?

[James Duddridge]

We have made it clear that we want the US presence to continue, but the Government have not yet held discussions with the US about continuing that arrangement. I very much welcomed discussing the issues with my hon. Friend a few weeks ago in connection with the all-party group visit to the Foreign Office. I will continue to liaise with him when the Government come to a conclusion, following the KPMG report and the consultation.

[Ms Margaret Ritchie (South Down) (SDLP)]

Following yesterday’s drop in the value of sterling, what other implications does the Foreign and Commonwealth Office anticipate for Britain and Northern Ireland as a result of the uncertainty around the referendum?