British Overseas Territories: Financial Transparency

8. What steps she is taking to ensure greater financial transparency in the British overseas territories.

I welcome the progress that many overseas territories have made on financial transparency. St Helena, Montserrat and Gibraltar now have fully public registers of beneficial ownership, while the Cayman Islands and the Turks and Caicos Islands have implemented legitimate interest access registers. However, I have also been clear with those overseas territories where progress has not been quick or comprehensive enough, including the British Virgin Islands, and at the joint ministerial council in November, I pressed for further progress, and agreed to provide technical-level support for that work. We will reconvene later this month to assess the latest position, and we reserve the right to consider all options, if progress is not made. Of course, we prefer to work in constructive co-operation, recognising the wide range of constitutional arrangements, but there are crucial issues here for tackling illicit finance, and for our national security.

Perhaps I can help with that assessment. Transparency International uncovered at least 160 cases since 2022 of luxury yachts being transferred into or out of Russia that were registered to companies in British overseas territories. While the brave Ukrainians are defending their country from a brutal invasion, Putin’s cronies are joyriding their multimillion-pound yachts, enabled by the likes of the BVI. Does this sicken the Foreign Secretary and the Minister as much as it sickens me, and can the Minister tell certain overseas territories that we are fed up with their excuses and their shielding of evil regimes and tax dodgers, and that they must deliver transparency now?

I welcome the work of Transparency International and others in shedding light on these issues. Those are exactly the concerns that I have raised directly with overseas territories’ Governments and have expressed in this place, and we will work to ensure rapid progress on these issues.