David Cameron failed to tackle UK-sponsored corruption in the form of
tax havens at the Anti-Corruption Summit on Thursday, according to a
number of charities.
The summit aimed to engage global leaders with tackling the issue of
corruption and to develop and agree practical ways to do this.
A number of charities say Cameron missed an opportunity to stop the network of UK-controlled tax havens.
"Today was David Cameron's best chance to stop the UK's network of
tax havens profiting from secrecy, but he has failed to take the action
he urged on others," said Toby Quantrill, principal economic justice
adviser at Christian Aid.
"Soon countries like Nigeria, Kenya and Afghanistan will be more
transparent than UK-controlled tax havens. Mr Cameron's failure to clean
up the UK's own back yard is a missed opportunity that he must address
with the utmost urgency."
Cameron has said all company registers should be public, yet has
chosen to exclude the UK's overseas jurisdictions from this measure of
transparency that the rest of the UK is pursuing.
"This summit has shone a welcome light on the problem of corruption.
But positive moves to make it harder to hide dirty money in the UK risk
being overshadowed by the Prime Minister's failure to deliver on his
2013 promise to lift the veil of secrecy surrounding the UK's own tax
havens," said Oxfam GB chief executive Mark Goldring.
"If corruption is a cancer then this summit has delivered some pain
relief but not the major surgery needed to heal the global economy."
Without rich countries like the United Kingdom preventing their tax
havens helping the corrupt, efforts from other nations are limited in
efficacy, according to Alvin Mosioma, executive director of Tax Justice
Network Africa.
"Some African governments have shown commitment to tackle corruption
within their borders and the Nigerian government's recent announcement
of a public register of beneficial owners is a good example," he said.
"However, these efforts will not yield the intended results if
governments including that of the UK, which should be considered as the
hotbed for global corruption, are only paying lip service while
providing the getaway cars that allows funds to be siphoned out of
Africa.
"Flowery political statements by rich countries' leaders' must
translate to concrete action, with them cleaning the corruption swamps
in their own backyards."
Cameron's failure to act on UK tax havens does not discredit his work
in "putting transparency on the global agenda in 2013", Quantril said.
"The UK has moved a long way in three years and even today has
decided to shine a light on the ownership of businesses that knowingly
facilitate financial crime, as well as ending their impunity.
"These are small pieces in a much bigger puzzle and Mr Cameron's
failure to stand up to UK tax havens, whose total population is the same
of a small UK city, leaves us questioning why he is unwilling to do
so."
Donald Mogeni, World Vision UK's social accountability advisor said:
"Addressing the challenges of tax havens was never going to be a walk in
the park, and the post summit media narrative has predictably made
#PanamaPapers the chief reference point. We believe that the UK and the
leaders in London have made commendable in making commitments on
financial disclosures although for us in the aid sector we feel the
course of discussions had too heavy a focus on the private sector than
the function of charities and the civil society."
"World Vision welcomes the summit's resolution to launch an
Anti-Corruption Innovation Hub, which aims to support social innovators,
technology experts and data scientists to collaborate with law
enforcement and civil society on innovative approaches to tackling
corruption. We believe that in future, technological innovation and
social media will increasingly become essential tools in the fight
against corruption given their proven potential to reduce opportunities
for wrongdoing, empower citizens to highlight illegal practices, and
enhance government transparency and accountability. While media and
technology will not be the ultimate panacea by themselves, when
fortified with well-intentioned complimentary policy reforms, they can
make a significant contribution to the fight for good governance," he
explained.
Ahead of the conference Cameron called corruption "the cancer at the
heart of so many of our problems in the world today". In an article for
the Guardian he wrote: "It destroys jobs and holds back growth, costing the world economy billions of pounds every year.
"It traps the poorest in the most desperate poverty as corrupt
governments around the world siphon off funds and prevent hard-working
people from getting the revenues and benefits of growth that are
rightfully theirs."
Ahead of the conference Christian, Muslim and Jewish faith leaders
wrote to the Prime Minister and said the UK was "among the main enablers
of corruption", branding it a "moral outrage".
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