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Hurricane Irma has devastated British territories – so why such little aid? Hurricane Irma has devastated British territories – so why such little aid?
(4 months later)
Tue 12 Sep 2017 18.14 BST
Last modified on Mon 27 Nov 2017 17.08 GMT
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Hurricane Irma, now seemingly in its final throes, has shattered Caribbean islands for which the UK is ultimately responsible. The government now appears to be taking that responsibility more seriously: the foreign secretary, Boris Johnson said he will spend the coming days visiting the British Virgin Islands (BVI) and Anguilla, two of the British dependencies worst hit by Irma. This is beginning to look like an appropriate response.Hurricane Irma, now seemingly in its final throes, has shattered Caribbean islands for which the UK is ultimately responsible. The government now appears to be taking that responsibility more seriously: the foreign secretary, Boris Johnson said he will spend the coming days visiting the British Virgin Islands (BVI) and Anguilla, two of the British dependencies worst hit by Irma. This is beginning to look like an appropriate response.
Until last year, I served as attorney general for Anguilla and my thoughts are with friends and all those who have died or have lost homes and businesses. Media attention will soon move on but the aftermath for many will be grim for months to come: no home, no power, no schools. This will be compounded if the UK’s reconstruction effort is not quick and effective. Equally, we must be careful of colonial attitudes to “victims”. Many of the people who have suffered are resolute and resilient. They have strong spirits and are determined to rebuild quickly.Until last year, I served as attorney general for Anguilla and my thoughts are with friends and all those who have died or have lost homes and businesses. Media attention will soon move on but the aftermath for many will be grim for months to come: no home, no power, no schools. This will be compounded if the UK’s reconstruction effort is not quick and effective. Equally, we must be careful of colonial attitudes to “victims”. Many of the people who have suffered are resolute and resilient. They have strong spirits and are determined to rebuild quickly.
Many Caribbean islands rely upon tourism; if the airports and hotels are not in a fit state to accept tourists this winter then there will be another blow to their economies. Immediate demands for supplies are one thing, but medium-term infrastructure support is required – we need to know that the electricity and schools are up and running.Many Caribbean islands rely upon tourism; if the airports and hotels are not in a fit state to accept tourists this winter then there will be another blow to their economies. Immediate demands for supplies are one thing, but medium-term infrastructure support is required – we need to know that the electricity and schools are up and running.
The UK government’s task is extremely demanding. Yet its commitment so far only to spend £32m in total across the three affected British overseas territories – Anguilla, BVI and Turks and Caicos Islands – is a drop in the Caribbean Sea. Johnson said on Monday that £28m of that has already spent. Are we to believe it will only release a further £4m? This would be derisory – it would not even pay to rebuild one school. I am sure they will do much better. The foreign secretary has also pledged to match taxpayers’ donations to the Red Cross. I just hope that we have not arrived at government by crowdfunding.The UK government’s task is extremely demanding. Yet its commitment so far only to spend £32m in total across the three affected British overseas territories – Anguilla, BVI and Turks and Caicos Islands – is a drop in the Caribbean Sea. Johnson said on Monday that £28m of that has already spent. Are we to believe it will only release a further £4m? This would be derisory – it would not even pay to rebuild one school. I am sure they will do much better. The foreign secretary has also pledged to match taxpayers’ donations to the Red Cross. I just hope that we have not arrived at government by crowdfunding.
If this had happened to other UK territories – the Falkland Islands or Gibraltar, for instance – would the response have been the same? To put it in perspective, the government recently spent £285m on St Helena, its territory in the South Atlantic, for an airport that, sadly, is effectively unusable. The UK’s foreign aid budget is around £12bn. There has not yet been any suggestion of other forms of support, such as UK exchange programmes for affected students. Following the volcanic eruptions in the neighbouring territory of Montserrat in the 1990s, two thirds of the population relocated to the UK. Time will tell what is required.If this had happened to other UK territories – the Falkland Islands or Gibraltar, for instance – would the response have been the same? To put it in perspective, the government recently spent £285m on St Helena, its territory in the South Atlantic, for an airport that, sadly, is effectively unusable. The UK’s foreign aid budget is around £12bn. There has not yet been any suggestion of other forms of support, such as UK exchange programmes for affected students. Following the volcanic eruptions in the neighbouring territory of Montserrat in the 1990s, two thirds of the population relocated to the UK. Time will tell what is required.
Of course, the government will claim that it is doing all it can. It will say that troops are on the ground, needs will be met and more money released in due course. To those making unfavourable comparisons with France’s response to the crisis, the government may also say the UK does not have direct rule and control over the islands. This is in contrast to the French government’s sole responsibility for St Martin and St Barts. But they do accept that the territories are populated by UK citizens and we remain solely responsible for their security and governance. Their founding constitutions are British orders in council – we retain the power to legislate for the territories and in an extreme situations suspend their constitutions and provide for direct rule.Of course, the government will claim that it is doing all it can. It will say that troops are on the ground, needs will be met and more money released in due course. To those making unfavourable comparisons with France’s response to the crisis, the government may also say the UK does not have direct rule and control over the islands. This is in contrast to the French government’s sole responsibility for St Martin and St Barts. But they do accept that the territories are populated by UK citizens and we remain solely responsible for their security and governance. Their founding constitutions are British orders in council – we retain the power to legislate for the territories and in an extreme situations suspend their constitutions and provide for direct rule.
The government’s reluctance to commit immediately to deploying significant sums in aid may simply be their huge wheels cranking into gear as they assess the needs to be met. But there are several issues provoked by the relief effort, each of which should spark serious debate about the UK’s relationship with its Caribbean overseas territories.The government’s reluctance to commit immediately to deploying significant sums in aid may simply be their huge wheels cranking into gear as they assess the needs to be met. But there are several issues provoked by the relief effort, each of which should spark serious debate about the UK’s relationship with its Caribbean overseas territories.
First, does the UK see its partner Caribbean islands as tax havens and secrecy jurisdictions? Some are better known for offshore financial services than tourism. There have been longstanding reports that the islands are havens for corruption, tax avoidance and money laundering. Much of their offshore wealth emanates from the UK. The Panama Papers exposed the level of BVI ownership of London property. I would hope this publicity would not cause the UK government such embarrassment that it would seek to distance itself from the islands.First, does the UK see its partner Caribbean islands as tax havens and secrecy jurisdictions? Some are better known for offshore financial services than tourism. There have been longstanding reports that the islands are havens for corruption, tax avoidance and money laundering. Much of their offshore wealth emanates from the UK. The Panama Papers exposed the level of BVI ownership of London property. I would hope this publicity would not cause the UK government such embarrassment that it would seek to distance itself from the islands.
Transparency International has done much work highlighting the issues in these offshore jurisdictions. What is less well known is that it was the UK which supported the establishment of these financial outposts in the first place, to benefit and service the city of London.Transparency International has done much work highlighting the issues in these offshore jurisdictions. What is less well known is that it was the UK which supported the establishment of these financial outposts in the first place, to benefit and service the city of London.
Legislative attempts to end these secretive arrangements so far have been a fig leaf: last year’s compromise agreements fell short of requiring public registries of the beneficial ownership of companies registered in the islands. The economist Richard Murphy has recently called for the donation of any aid from the UK to be conditional on reform of the territories’ offshore tax haven status.Legislative attempts to end these secretive arrangements so far have been a fig leaf: last year’s compromise agreements fell short of requiring public registries of the beneficial ownership of companies registered in the islands. The economist Richard Murphy has recently called for the donation of any aid from the UK to be conditional on reform of the territories’ offshore tax haven status.
The UK may hold the local governments of these territories responsible for these failures. What it does not say is that the UK could legislate to require reform tomorrow if there was the political will. There is not, perhaps because of the fear that it would highlight the UK’s ultimate responsibility. Both UK and local politicians also recognise that the islands’ economies, heavily reliant on offshore financial services, might flounder with the major loss of jobs. Then the UK may have to provide alternative investment. It may also rightly believe that the offshore money would simply be moved to other global secrecy jurisdictions.The UK may hold the local governments of these territories responsible for these failures. What it does not say is that the UK could legislate to require reform tomorrow if there was the political will. There is not, perhaps because of the fear that it would highlight the UK’s ultimate responsibility. Both UK and local politicians also recognise that the islands’ economies, heavily reliant on offshore financial services, might flounder with the major loss of jobs. Then the UK may have to provide alternative investment. It may also rightly believe that the offshore money would simply be moved to other global secrecy jurisdictions.
Second, we should also consider the political situation in each territory. Some local politicians may underplay the help required because they do not want to be seen to cede control to the British government. Some may not want to highlight reliance as they are pushing towards full independence from Britain. Less understandably, they may not want the UK to provide any control or scrutiny of their activities. Some may not want to highlight the extent of the damage for fear of putting off tourists from coming this winter.Second, we should also consider the political situation in each territory. Some local politicians may underplay the help required because they do not want to be seen to cede control to the British government. Some may not want to highlight reliance as they are pushing towards full independence from Britain. Less understandably, they may not want the UK to provide any control or scrutiny of their activities. Some may not want to highlight the extent of the damage for fear of putting off tourists from coming this winter.
Third, we must ask whether it is a priority for the UK government to invest significantly in the territories. The Foreign Office may support a more detached relationship - that of “partners” rather than former colonial masters. Each territory has its own locally elected government, but is it realistic or fair for these governments to take primary responsibility for such an enormous reconstruction effort? The majority of their citizens still want to maintain a link with the UK, not least for when major assistance is required. If this disaster is not such an occasion, I don’t know what is.Third, we must ask whether it is a priority for the UK government to invest significantly in the territories. The Foreign Office may support a more detached relationship - that of “partners” rather than former colonial masters. Each territory has its own locally elected government, but is it realistic or fair for these governments to take primary responsibility for such an enormous reconstruction effort? The majority of their citizens still want to maintain a link with the UK, not least for when major assistance is required. If this disaster is not such an occasion, I don’t know what is.
Fourth, the government may also have a real concern about controlling who aid money will go to and how it will be spent. In 2009 the UK temporarily suspended the constitution of the Turks and Caicos, and imposed direct rule following the Auld Commission into alleged governmental corruption. The former premier is currently standing trial and denies all charges.A reported £400m has been spent in Montserrat since the first eruptions of its volcano in 1995, with reported concerns about local mismanagement of aid money.Fourth, the government may also have a real concern about controlling who aid money will go to and how it will be spent. In 2009 the UK temporarily suspended the constitution of the Turks and Caicos, and imposed direct rule following the Auld Commission into alleged governmental corruption. The former premier is currently standing trial and denies all charges.A reported £400m has been spent in Montserrat since the first eruptions of its volcano in 1995, with reported concerns about local mismanagement of aid money.
Finally, the criteria that the Department for International Development uses for aid do not prioritise British overseas territories and their citizens. Eligibility is weighted towards relief for the poorest, regardless of nationality. The territories hit by Hurricane Irma are considered, rightly or wrongly, to be “middle-income countries” and their populations are not normally eligible for automatic aid. So when the foreign secretary arrives in the Caribbean, I hope he will maximise the UK’s response to the devastation wreaked by Irma, as well as using it as an opportunity to discuss our relationship with the overseas territories. It’s a conversation long overdue.Finally, the criteria that the Department for International Development uses for aid do not prioritise British overseas territories and their citizens. Eligibility is weighted towards relief for the poorest, regardless of nationality. The territories hit by Hurricane Irma are considered, rightly or wrongly, to be “middle-income countries” and their populations are not normally eligible for automatic aid. So when the foreign secretary arrives in the Caribbean, I hope he will maximise the UK’s response to the devastation wreaked by Irma, as well as using it as an opportunity to discuss our relationship with the overseas territories. It’s a conversation long overdue.
Hurricane Irma
Opinion
Boris Johnson
Aid
British Virgin Islands
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