• Loading

Criminal Finances Bill: a step towards transparency, but much more is needed

14 October 2016 - The Government’s Criminal Finances Bill will play a useful role in the fight against corruption, but its potential has been overshadowed by the failure to take decisive action on secrecy in UK-owned jurisdictions, says Christian Aid.

Responding to the publication of the bill, Christian Aid’s UK Parliamentary and Political Adviser Simon Kirkland said: “This bill represents a real step forward in the fight against corruption around the world, which costs developing countries a massive $1 trillion each year.

“The Government’s proposed Unexplained Wealth Orders and new offence for companies who fail to prevent tax evasion around the world will have real impacts in the fights against corruption and tax evasion, which so blight the global economy.

“While these measures are a good step forward, there is still much more that the UK can do. Together with its Overseas Territories and Crown Dependencies, it is the most secretive jurisdiction in the world. Territories owned by the UK facilitate huge amounts of tax dodging and corruption every year.

“Without some degree of transparency around company ownership, we don’t even know how much harm we’re causing. But the fact that the British Virgin Islands was the most popular tax haven in the Panama Papers gives us an idea of the harm that UK-owned jurisdictions are doing. The failure of the Government to insist on transparency of company ownership in our tax havens in this bill is a glaring omission.”

Mr Kirkland continued: “The UK led the world in making its company ownership structures transparent. Given that many other countries including Kenya, Nigeria and Afghanistan are following suit, it is time for the Government to make good on a three-year-old promise and ensure that the UK’s tax havens are also transparent about their company ownership.

“This would be an excellent first step for the new Prime Minister to turn her warm words on tax avoidance into decisive action. Without this action, the good in this bill is over-shadowed by the lack of action in this crucial area well within our control.”  

ENDS

If you would like further information, please contact Tomilola Ajayi on 07850 242950.


Notes to editors: 

1. Christian Aid works in some of the world's poorest communities in around 40 countries at any one time. We act where there is great need, regardless of religion, helping people to live a full life, free from poverty. We provide urgent, practical and effective assistance in tackling the root causes of poverty as well as its effects.

2. Christian Aid’s core belief is that the world can and must be changed so that poverty is ended: this is what we stand for. Everything we do is about ending poverty and injustice: swiftly, effectively, sustainably. Our strategy document Partnership for Change explains how we set about this task.

3. Christian Aid is a member of ACT Alliance, a global coalition of more than 130 churches and church-related organisations that work together in humanitarian assistance, advocacy and development. 

4. Follow Christian Aid's newswire on Twitter: http://twitter.com/caid_newswire

5. For more information about the work of Christian Aid, visit http://www.christianaid.org.uk

Press office

Want to speak to Christian Aid's press office? Here’s who to contact.

Contact details

Comment

Clarifications, corrections and statements from Christian Aid.

Latest response

Christian Aid blog

Latest news and views from staff and partners around the world.

Latest blog