Lord Chancellor Jack Straw is set for talks with Isle of Man (IoM) chief minister Tony Brown to discuss the UK's relationship with the crown dependency.
It follows comments made this week by Alistair Darling who described the IoM as a “tax haven” and said the UK Government would have to take “a long hard look” at the tax opportunities it offers.
Brown says he is still waiting for a response from Darling to a letter asking for clarification of his remarks.
The Chancellor told the Treasury Select Committee on Monday the Government would review its relationship with the offshore tax haven in the wake of the Icelandic banking crisis.
“It is important for depositors, and the people of the Isle of Man, that Government moves forward on many levels to resolve the current difficulties,” Brown says.
“Work continues with the provisional liquidator to find the best solution. To this end, a wide variety of possible options are being examined and considered. At this point, no options have been ruled out.”
Brown reiterates the collapse of Kaupthing Singer & Friedlander (KSF) was “not caused by any action taken by the IoM Government”.
He also says he is requesting clarification of the status of over £500m belonging to KSF (IOM), representing creditors’ deposits from the bank “which were in London when the UK put KSF (UK) Ltd into administration and froze Icelandic assets”.
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