Would we be better off with the Conservatives?

Monday 11th January 2010, 2:30PM GMT.

WHAT would a Conservative UK Government mean for Guernsey?

With Prime Minister Gordon Brown being disowned by members of his own party while facing opposition calls for an immediate general election, it is unlikely he will retain his position and Labour looks on its last legs.

So how would our fair isle fare in an era of David Cameron and co. – arguably the least-worst and only likely alternative?

Maybe all of Chief Minister Lyndon Trott’s wooing of the Tories would prove worth it – he met William Hague this year after all…

Housing Minister Dave Jones is convinced such a changing of the guard would benefit the Bailiwick and said he’d breathe a sigh of relief to see the back of Brown’s Britain.

And Euro-wary Deputy Jan Kuttelwascher believes the Tories would stand their ground against French and German attempts to marginalise offshore finance centres, where Labour would not.

Chamber of Commerce shares this perspective.

But former UK Liberal Democrat candidate Mike Hadley warned islanders not to get too excited too soon, as any party would face the same financial struggles and have the same incentives.

Deputy Jones said anything would be better than the recent relationship with Labour.

‘The main problems we have had with what I call creeping interference from the UK into our affairs have come in the last decade with the Labour Government in power,’ he said.

‘They seem obsessed with controlling the lives of almost everyone, whether they happen to reside in the UK or not.’

Labour’s tendency to marginalise the Crown Dependencies by passing around responsibility for them without much interest in them had constantly irritated him, he said.

‘What has angered me is the disrespect the Labour Government has shown us,’ he said, referring specifically to the lack of senior Labour figures to have visited Guernsey in the last decade.

‘The Channel Islands are passed around like some parcel through Westminster, moved from office to office; Lord Chancellors, Constitutional Affairs, Ministry of Justice – it is annoying to say the least.’

‘You never get to form any decent long-term relationship with people before being passed on like a tin of beans.’

Historically, he said, Guernsey had enjoyed long and positive periods alongside the Conservatives.

‘I believe that if a Conservative Government comes to power, the islands will enjoy a much better relationship with them than this present Labour show.

‘This Labour Government has always been preoccupied with squeezing as much tax out of the population as they can.

‘The Conservatives have been more sympathetic to people who wish to retain more of their earnings with a choice of what to do with it.’

But he doubted that the ever-brightening spotlight of scrutiny that has been shone on the Crown Dependencies and their business practices would be dimmed or pointed elsewhere.

‘Whichever government is in power in the UK, whichever colour, the UK is no longer governing itself, it has become a region now of a country called Europe.’

‘I expect the scrutiny from the EU and internationally will remain the same.’

Deputy Jones said that whoever gets in it is unlikely that dealing with offshore finance issues would be a priority.

But Deputy Hadley flatly disagreed with this point.

He said the UK’s debt, following the multi-billion-pound banks bail-out, meant any leader from any party would be frothing at the mouth for funds.

‘With a major debt problem, the UK must reduce public spending or increase taxation without damaging the recovery – therefore tax evasion or tax avoidance is bound to be important,’ he said.

He spoke to a Liberal Democrat candidate friend, Richard Burt of West Worcestershire, to investigate the issue.

‘Certainly while Richard Burt would not wish to see any damage to the island’s finance industry, a priority must be to reduce the ability of the super-rich to avoid taxation,’ he said

‘The loyalty of any MP will be to the UK electorate, and not to the islanders of Guernsey.’

He said Liberal Democrat main economic spokesman Vince Cable had shown the same focus – doing more to stop the super-rich evading taxation in the UK by using offshore havens.

‘By this they do mean those jurisdictions that are not transparent in their dealings and do not have tax information exchange agreements,’ said Deputy Hadley, who added that Guernsey was not necessarily one of them.

‘I suspect that this will be the view of all three major political parties.’

Deputy Jan Kuttelwascher said Labour’s loyalty to Europe was very relevant to the question.

‘I think a Labour Government, or, God forbid, a Liberal Democrat Government, would be quite hostile to the Channel Islands and the Isle of Man.’

Labour and the Liberal Democrats were far more in bed with Europe than the Conservatives, he said.

‘The Europeans, I don’t doubt, would like to see all offshore centres shut down as finance centres – they would bring regulations that would make it almost impossible for us to do business within the EU at all and get rid of our advantage.

‘The Tories will stand taller against Europe and will be more protective of the UK and the British Isles in the face of EU attempts to make our finance industry less important.’

Chamber of Commerce director Barry Cash, who describes himself as being ‘further to the right than Attila the Hun’, backed this view.

‘The Conservatives are much more relaxed and hands-off about control and they are much more inclined to allow market forces to develop rather than regulate everything from the centre.

‘They don’t control the markets as much, which would be good for Guernsey.

‘This is a much more flexible approach and they would also have a more objective view of Brussels, rather than the subjective view Labour have – they would not be so subservient.’

In the opinion of this writer we are lucky to be small enough not to have to deal with party politics.

Considering how much time the States wastes anyway, the introduction of parties could bring us to a standstill, with more self-important posturing than ever.

The current UK parties are all as unimaginative and bad as each other, and Guernsey can learn little about good governance from them.

Unfortunately they will be there whether we like it or not, bickering away.

The disease politicians get is that they start to take the politician more seriously than the politics.


  1. 1
    Stephen John

    It has to be agreed that David Cameron is the best of a not spectacular bunch. Even though I have always voted Conservative and will continue to do, I still fear that the marginal voter will ensure a hung or labour government.

    If Labour ditch Pa Broon before the election, then the chances of a hung or unworkable Labour majority is increased.

    What we can be sure about is that all the talk of the main parties of sorting out tax havens will be posturing, with minimum real action. Too many politicians have a personal interest in tax havens. It should be remembered that those who preach morality to others are often the least moral in their own lives.

    So, Guernsey can expect business as usual with the posturing and little else too worry about. This will be especially so as business momentum and profit increases in the substantially slimmer UK companies.

    What about Europe? More posturing, but with a little more danger of them doing something.

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  2. 2
    Arnald

    Nothing could be worse for the UK than Ashcroft/Cameron/Osborne/Johnson. They represent the faces of the modern, abhorrent misuse of privilege that New Labour have continued from the failed economic system of the 1980s.

    All we’ll see is this ridiculous pampering to the unfairly monied new aristocracy by Guernsey’s politicians and ‘businessmen’ taken to new heights of embarrassment. New heights of socially worthless shame.

    Whilst promoting harmful tax abuse.

    Surely the the last ten years or so has been a boom time for Guernsey’s ‘operations’? Why do people knock the encumbent UK government so much?

    Aren’t Guernseyfolk told how lucky they are?
    Wow! then the luck won’t stop rolling in!

    More rotten that New Labour, more backhanders, more undemocratic links to business, more tax haven connections, more racists, more misogynists, more bigots generally, linked to far-right European misfits and fascists, no patriotism, all cronyism. More lies backing zero morals.

    But it’ll be good for Guernsey, yeah?

    God save the Queen

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  3. 3
    David

    Actually Arnald I think a hung parliament, which is increasingly a possibility, could be the worst outcome of all !

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  4. 4
    Ray

    When I saw the glum looking Hampshire Lodge publican in the 12/1 Press my immediate thought was that I would still risk a blind fiver on Arnald in a miserable git competition

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  5. 5
    Phil

    Ray

    Your fiver stands a better chance on that bet rather than putting it on him to get elected into the States next time………..

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  6. 6
    Arnald

    Well done! I’m bleeding from the eyes with mirth!

    Phil, why are you so obsessed? You can’t even win an argument with mad ole Arnald, let alone face me down in reality. You can retreat back into exposing my anonymity (you must be friends with David, same school of thought for personal attacks), and making pathetic remarks about uncertain futures (a bit like the finance industry), but you cannot win the argument over your social uselessness.

    That must hurt, knowing that the more intelligent people around the world can see you for what you are.

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  7. 7
    Phil

    Arnald

    Social uselessness?

    Apart from paying significant amounts in taxes which pay non-producers’ salaries of course…..

    I’m looking forward to you standing for deputy as it goes, any public meetings will be hilarious. I might even turn up and throw in a question or two. Then quietly leave the building as you whip yourself into a fury about how the local finance industry is the cause of all the world’s ills. It’s a toss up between you and Pete Burtenshaw as to who stands the better chance of being elected. Thankfully the odds are ridiculously long that either of you will get in………….

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  8. 8
    Arnald

    You’re so old fashioned, Phil!

    So there isn’t a massive deficit in government finances caused by appeasement to you and your kind?

    And you’re clueless!

    So those years spent in education were ‘not producing’? The infrastructure you use does not make your life better? In what world do you live in?

    And as the truths about the global impact of our grubby tax planning industry comes out, you will see the extent of your usefulness to society.

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  9. 9
    Martino

    Will the last one to leave the island after Arnald becomes CM please turn off the light?

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  10. 10
    Phil

    Arnald

    Here we go again, you’re interpreting posts to suit your warped agenda.

    Do students receive salaries now then?

    I live in the real world, whereas you appear to live in a place where reality is as rare as rocking-horse manure.

    Carry on ranting………

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  11. 11
    Smudger

    @Arnald
    Some simple questions for you…how much of the States annual deficit is attributable to the economic recession and the resulting loss of tax revenue ?…What would the structural deficit have been if the States’ growth targets had been met ?…How much blame do you apportion to the current UK Labour Government, which you apparently seem to worship, for mismanaging their UK economy to where it is today…How much per capita does the UK currently have in its Rainy Day Fund compared with Guernsey ?…How much per capita is the UK’s national debt compared with Guernsey’s ?…. How much per capita is the UK’s annual structural deficit compared with Guernsey’s ?…Have the States of Guernsey really, in relative terms, got it that wrong ?

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  12. 12
    Neil Inder

    We conducted this poll in May 2009.

    Guernsey is conservative with a big and a small “c”

    http://www.ifcfeed.com/articles/detail.aspx?articleid=1811

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  13. 13
    Arnald

    Phil and, er, Smith

    Knowledge and information have no value then?

    What’s the UK got to do with zero ten?

    What caused the recession?

    *bangs head against wall*

    Is that the best you’ve got?

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  14. 14
    Matt Fallaize

    Neil,

    I’d forgotten about your survey – thanks for reminding us.

    It’s certainly interesting, although I guess you’d accept that your surveys tend to be more representative of the business community than necessarily of the population more generally.

    In a sense, I’m surprised the differences were not more marked. Five in ten defined themselves as right of centre, and three in ten as centrist or left of centre. And that was 12 years into Labour government, by which period of time most incumbent governing parties are usually not terribly popular. I wonder what the results would have been just before the 1997 UK general election?

    I’m sure you’re right that Guernsey is a fairly conservative (small ‘c’) community, although probably far more aligned to the more traditional One Nation Toryism than the ideological hard right.

    Interestingly, only 38% thought that Guernsey would benefit from political parties. If those people were distributed in proportion to the responses to the other question about political allegiance, it can be assumed that only one in five respondents would wish to vote for a centre-right party in Guernsey.

    It is significant that more than six in ten did not believe that Guernsey would benefit from political parties, especially when in the long-term they are probably essential in any system of cabinet government and island-wide voting.

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  15. 15
    Neil Inder

    “although I guess you’d accept that your surveys tend to be more representative of the business community than necessarily of the population more generally.”

    I used to preface our surveys to the media that the repondents were generally white-collar workers, working in town between the ages of 30 and 60. Having conducted many surveys; the one that we know was pretty much on the button was the IWV survey. Accurate in 3 wards and predicting the demise of a Vale Deputy. Recently the poll we conducted on IWV that mirrored the SACC postal survey responses was, again, accurate.

    So business people and workers – yes. Closer to public opinion than I intially thought – certainly.

    As I’ve said elsewhere, polling and elections should all be prefaced with “those who cared to respond believe x about x subject”.

    We hope they serve some useful purpose.

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  16. 16
    Greenboy

    The answer to Thom Ogier’s question is that we will probably be no better, but also no worse, off under a Tory Government, if one is elected.

    The fact of the matter is that Guernsey’s economy has been pretty successful in the years since 1997, notwithstanding the Labour Party being in government at Westminster. Sure, there have been periodic episodes when the island has felt let down by the constitutional treatment it has received from the Labour government; e.g over the lack of consultation ahead of the announcement of the Edwards Report and more recently in relation to the Foot Review. But the reality is that those reviews have, in fact, only served to highlight all the more clearly that we have a well run, well regulated industry in our midst.

    Could it not therefore be suggested that the pressures of a Labour government have perhaps inadvertantly helped Guernsey to demonstrate it’s good reputation more effectively than a “hands off” Tory government might have done?

    In any event, any new Tory administration will feel the financial pressures very early on so the realpolitik suggests that the Tories will feel compelled to continue with the rhetoric and policy of being ‘tough’ on tax avoidance and evasion.

    I would agree that the majority of the business community are both small and big “C” conservatives; but I am constantly surprised by the degree of natural affinity towards progressive ideals that you hear from certain groups outside the business community in Guernsey; e.g in the non-finance related professions, amongst students, in the public sector.

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  17. 17
    Arnald

    It is because there is more to life than serving an industry that does more harm than good around the world, that is turning Guernsey youngsters into robotic dullards who care only about promotion and wealth, and breeds individuals that are so arrogant that any academic research not in their favour becomes the preserve of ‘nutters’. Incidentally there is no worthy academic research in favour of our business. It’s all been proven wrong.

    It’s a turn off for the intelligent. Society is never static, it should always seek progression. If it hurts, then it hurts, but progression is worth it for our children.

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