FUNDING a Brussels office is now a must, according to Institute of Directors Guernsey chairman Mark Thompson.

Following confirmation that several European Union member states had pulled the plug on the island’s zero-10 tax strategy, as well as that of Jersey’s, Mr Thompson has spoken out for the first time about the matter alongside his Jersey IoD counterpart Gary Drinkwater.

‘This is the latest occasion when we have been unable to directly defend our interest in the face of external pressures,’ said Mr Thompson (pictured).

‘It is not the first and I doubt it will be the last. The first step is a Brussels office jointly funded by the two islands. That is now a priority.’

The two IoD bodies said the present situation had provided an opportunity to take stock of how relationships with the EU worked in practice and demonstrated why an external presence was now crucial.

But both chairmen were confident a solution to the EU’s revised view of the islands’ tax systems could be found.

Mr Drinkwater added: ‘The IoD will be fully supportive of our ministers in both islands in their efforts to find revised tax systems that meet the twin objectives of EU compliance and raising revenue for the islands.’