The British islands

Jersey, Guernsey and the Isle of Man are Crown Dependencies: they are not part of the United Kingdom, and they have their own parliaments, their own taxes and their own immigration rules. Gibraltar, Bermuda, the Cayman Islands, the British Virgin Islands, Turks and Caicos, Anguilla and a handful of remote places are Overseas Territories. The Crown is what they share. Almost everything else sets them apart.

I have done business in these islands for twenty years, and the most useful lesson is simple: each island has exactly one door for newcomers, and it is rarely the one in the brochure. On Jersey it is a tax commitment of at least £250,000 a year, on Guernsey the right address, on the Isle of Man a job or a company, in the Caribbean an investment. The local adviser market is expensive and fragmented everywhere. Knowing which door you are taking before you arrive is where you save the most.

And one thing up front: an account or a company on an island is not a hiding place. All of these territories report account data under the Common Reporting Standard to the country where you are resident. Tax savings come from genuinely moving and leaving your old home properly.

Anguilla and the Turks and Caicos Islands are on the EU blacklist (Annex I), and the British Virgin Islands are in Annex II. For life on the island that matters little. It matters more if you stay taxable at home and do business with a listed territory: your home country may apply its own defensive rules to EU-listed jurisdictions, such as denying deductions or tax relief on dividends.

Moving from any home country to a low-tax island also raises the questions your home country asks of anyone who leaves: tax on unrealised gains at departure, trailing liability on income, gifts and estates for some years, and stricter treatment of low-tax destinations. These apply whether or not the island is listed. More on our page about the EU list of tax havens.

If you want to move to Jersey, Guernsey or the Isle of Man, Crown Dependency Relocation covers the whole way: island comparison, departure check, immigration, residential status, house, tax status and bank account. For Gibraltar and the Caribbean we start with a UK Tax Consult.

If you only need an account on an island without moving, our banking section is the right place. A pure structure without a move, such as a company or trust while you stay at home, is a different subject: there your home country's rules on foreign companies decide, so start with the consult.