Dr Ellie Chowns

It is a pleasure to serve under your chairship, Sir Roger. I thank the hon. Member for North Norfolk (Steff Aquarone) for securing this important debate. I welcome the Government’s commitment to hold a summit on tackling illicit financial flows, but it is essential that more political priority is given to this issue and that the UK shows more leadership in this space. If the summit is to be a success, we need to put our own house in order and play a critical role in helping to clean up the global financial system. We must also clean up the influence of dirty money, which infests our politics and the fabric of our country. The UK plays a core part in this issue, particularly due to the role of the overseas territories and Crown dependencies in facilitating these flows. As we have already heard, if we include the overseas territories and Crown dependencies, it is calculated that £788 billion of illicit finance from financial crime, money laundering, corruption, illegal trade and tax abuse flows through the UK and its territories every single year. That is a huge problem. I was particularly struck by the calculation from Tax Justice UK that the UK and its overseas territories and Crown dependencies are responsible for about a quarter of revenues worldwide lost due to tax abuse. That is extraordinary. We represent less than 1% of the global population. Our economy, depending on how it is measured—purchasing power parity or not—is between 2% and 3% of the global economy, yet we are facilitating 25% of global tax abuse. That is absolutely unacceptable. I welcome the commitment from Members across the Chamber today to tackling that. I very much hope that we will hear strong words, followed by strong action, from the Government today and in the summit. It is crucial that we have full transparency over property ownership and beneficial ownership. It is crucial that registers are fully accessible to everybody and are not just, as has been suggested by some territories, accessible only to certain people at certain times—pre-qualified, with notifications being sent to owners that people are looking into their affairs. Transparency is a fundamental principle, and it is essential to prevent the abuses that we know the system of secrecy actively enables. I very much hope to see strong action from the Government on that at the upcoming summit. It is also crucial that the summit recognises that tax abuse includes both tax evasion and tax avoidance. The UK economy loses tens of billions of pounds each year, as the hon. Member for Kensington and Bayswater (Joe Powell) mentioned.