Crown Dependencies: Contributions

Lord Anderson of Swansea Excerpts

Thursday 1st July 2021 Lords Chamber

[Lord Wolfson of Tredegar (Con)]

My Lords, as sanctions are a tool of foreign policy, it is government policy for UK sanctions measures to be given effect in the Crown dependencies to make those sanctions as effective as possible. The Crown dependencies apply UK sanctions, including, for example, the Global Human Rights Sanctions Regulations 2020 and the Global Anti-Corruption Sanctions Regulations 2021. The FCDO and Her Majesty’s Treasury ensure robust implementation of sanctions. There is considerable sanctions-related engagement with the Crown dependencies, including meetings and webinars, to make sure that all the sanctions legislation is properly applied throughout the Crown dependencies.

[Lord Anderson of Swansea (Lab)]

My Lords, a voluntary contribution is unusual and presumably could be withdrawn unilaterally; it depends wholly on good will. Does the Minister agree that transparency is important to allay any UK taxpayer concerns that these overseas tax havens are being treated unfairly? How regularly is there an audit of that financial relationship? Presumably, that also contains any contingent liabilities.

[Lord Wolfson of Tredegar (Con)]

My Lords, I take issue with the reference to tax havens. That is a tendentious term and we can perhaps debate it on another occasion. The Crown dependencies have a long-standing relationship with the UK via the Crown; it is not a quid pro quo relationship—using “quid” in both the Latin and the colloquial sense. It is a relationship based on constitutional convention and respect for domestic autonomy. We reiterated in the recent integrated review of security, defence, development and foreign policy that we will continue to defend and represent internationally the three Crown dependencies.