Report says UK is subverting global financial reform

| 29/03/2011

(CNS): A new report published today argues that the UK is subverting progress towards a safer financial system, and has become a major barrier to international efforts for reform. Subverting Safer Finance by the new economics foundation reveals that compared with other major financial centres, including even the US, the UK is part of the problem in key areas of financial reform, rather than leading the search for solutions. The think-tank’s report says that in areas including potentially damaging speculation in food, energy and minerals, the Alternative Investment Market, ‘naked short-selling’ and the operations of British tax havens, the UK is holding back urgently needed regulation.

NEF head of finance Tony Greenham said the UK can’t blame other nations for standing in the way of reform when the reverse is more likely to be the case. “…the UK itself is a ‘haven’ that threatens the stability of the global economy,” he said as he called for the UK to live up to its image as a pre-eminent global financial centre and demonstrate strong international leadership on better regulation instead of pandering to vested financial interests.

The report reveals that the UK is actively choosing not to tackle tax havens. “While the UK claims it cannot influence tax havens, many are UK Crown Dependencies or Overseas Territories,” the report says where a past history of intervention suggests otherwise along with reserve powers enshrined in the constitutions of the overseas territories that can affect and block legislation.
“If the government wants a safe and stable financial system it should stop the UK dragging down international efforts toward financial reform. If it doesn’t we are in danger of being seen by our neighbours as a financial rogue state, subverting safer finance,” said Andrew Simms, nef fellow and a co-author of the report.

In order for the UK to demonstrate that it wants to deliver a safer financial system, nef calls for a range of minimum necessary actions to be implemented immediately which include eliminating tax havens that are under UK control, and work with the US, the EU and other international authorities to co-ordinate regulation of global tax evasion and avoidance.

See report here

 

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Comments (6)

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  1. Michel Lemay says:

    Yes and they are adding insult to injury by bragging about a safer financial system. Remember my post not so long ago about why decolonize us when we can take over and run things like T $ C.? They are playing us ALL the way and it won’t be to our advantage; on the contrary and remember the Gov. can call martial law anytime he wishes but they all believe the longer rope will do it and we will be like the rebels trying to defeat Gadafy except the US can’t get involved against their allies. And the fat cows will be able to leave and have us use our homemade slingshots to defend ourselves. Scary though isn’t it.History might repeat itself just like they did in the past including India etc. If they are any dogs left they will eat our supper. Seriously think about it only one man might dare to come to our rescue and that is a scary thought. And he has to worry about the US. I read enough on their past history from the 16th to the 18th century to know what happened. We are just 3 little islands in the Caribbean and we need to keep an eye on our Masters. It might not happen during our lif time but our children and grandchildren might have to face certain consequences all because 1 man wants it his way or no way ! Enough said. Except God help us and honestly I hope I am wrong but…… can we trust them ?

  2. Anonymous says:

    Are you morons, whining on about the UK not clamping down on tax havens & so on?! If they did (affecting Cayman!) you would be the first to moan about that too!! Let’s all hope the UK leaves tax havens alone; not that Cayman is one of course!…

  3. Dolla$$ a run says:

    Sounds about right, pure hypocrites the birth place of colonialism what do you expect?

  4. Right Thing says:

    The UK has the power and moral obligation to close down its OFCs.  It is an accomplice in the theft of billions from the world’spoor.

  5. Anonymous says:

    Some of us always knew that "The City of London" in the UK was the center of the world financial mess and corruption.

    …and they come here to call us out for corruption.

    What CHEEK!!

  6. Anonymous says:

    The communist are coming…!