The constitutionality of methods of influence used by the UK in imposing OECD tax reform on Crown Dependencies and Overseas Territories.

Earlier this week, the FT reported that the UK is applying pressure to the Overseas Territories (OTs) to increase "transparency".

There are two things...

1) I have never understood why the OTs have to be held to a higher standard than say Luxembourg or Malta. The EU has ruled open access UBO registers to be a breach of fundamental rights and an interference with personal data. These are principles which the UK built its data protection law on. Why is it sauce for the goose if not the gander?

2) The UK grants devolution to these territories. There is a democratic process in these jurisdictions with constant oversight from the UK via their representatives the Governors. The Governors have the power to make law at a moment's notice. Westminster can pass a law today to make this happen. Yet the UK chooses to threaten rather than use the powers it has. This is a repeat of the ridiculous spectacle of Gordon Brown threatening economic sanctions on the OTs if they did not comply.  It is very clear that the OTs have devolution as long as they use it the way the UK says. And that's no devolution.

The UK should stop bullying the OTs and define its role properly. We need a new constitutional settlement whereby UK explains when it will intervene and when it will not. Overlapping competences like the ones in every OT constitution are unhelpful and guaranteed to create a democratic deficit.

Gibraltar's CM Fabian Picardo very strongly protested the Hodge amendment and his letter to Andrew Mitchell back in 2018 sums it up well...

"To legislate directly for an Overseas Territory would amount to an unacceptable act of modern colonialism"

The UK should either accept it is a colonial overlord that is unwilling to respect a local legislature's right to pass or not pass laws as it sees fit or allow OTs to carry out their competences in line with their democratic processes. It should not interfere in this extra-constitutional manner.

If you want to read more...here's my paper on this EXACT point...

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