GOVERNOR’S THRONE SPEECH HIGHLIGHTS UK RELATIONS

In a wide-ranging address, Her Excellency Governor Jane Owen set the tone for the government’s agenda over the next Parliamentary year.

Delivering the Throne Speech at the formal opening of Parliament and the presentation of the Budget Statement, the Governor’s speech underlined UK/Cayman relations and addressed specific areas of local governance and development.

The future of the relationship between Cayman as a UK Overseas Territory - and other OTs - is about to undergo a major shift coming out of the recent Joint Ministerial Council summit in London last month.

CAYMAN/UK RELATIONS

“Over the coming months, the UK proposes to agree a new bilateral “compact” with each overseas territory that would like to do so, setting out the responsibilities and obligations we share, and highlighting our priorities for the future,” Governor Owen informed Parliament.

“Our Premier has already expressed her wish for early discussions on our Compact, and I look forward to working with the Government and Parliament, as we consult widely during the process, to ensure that our bilateral agreement sets the right direction for a strong future relationship.”

Referring to high-profile global issues in which the UK is deeply involved, the Governor as the UK’s representative in Cayman, pointed to the role that the jurisdiction has been called on to play as part of the British response to Russia’s unprovoked attack on Ukraine’s sovereignty.

“I want to highlight today the key role that Cayman plays in sanctions implementation, as a global centre for funds and investment. Through Operation Hektor, which joins up information and enforcement across government and the private sector, we have been able to freeze around $9bn in Russian assets. As the world continues to close Russian attempts to circumvent the sanctions regime, we will continue to play our part to ensure that Cayman holds fast in support of peace, stability and the rule of law.”

FINANCIAL SECTOR

In a related issue concerning Cayman’s globally recognised and scrutinised financial sector, Governor Owen noted: “Cayman’s core role within the international financial system has also been in the spotlight as the Financial Action Task Force (FATF) removed our jurisdiction from its “grey list” and lifted the need for enhanced monitoring.”

And she stressed: “It is hard to overstate how significant this move is for us: it means that FATF recognise that Cayman has the commitment and the processes in place to enforce and combat money laundering and illicit finance.”

However, the Governor reminded that “the task does not stop here” and committed that Cayman “will continue to work with the United Kingdom, the European Union and other international partners to evolve new measures for oversight and transparency – including through our new Beneficial Ownership Transparency Act and associated regulations which will come into force in 2024.”

Locally, the Governor listed a series of issues that will continue to occupy the attention of the political directorate and the wider community, principally among them crime and security, road safety and the cost of living.

Security and crime

“We will continue to make Cayman a hostile environment for criminal activity – achieving this through “feet on the ground” in community policing, as well as a targeted response to specific incidents, especially those involving violence and firearms.”

Road safety

”We are also committed to a renewed focus on road safety and the strict enforcement of penalties for those who put others in danger. As we enter the party season, I would remind everyone that we can save lives and avoid a traumatic Christmas for many families if we all select a designated driver, and never get behind the steering wheel under the influence of drink or drugs or with a mobile phone in our hand.”

Cost of living

“I want to recognise here today that the steep cost of living increase provides a stern backdrop for your deliberations, and a clear call to action as we make our plans for the coming 2-year financial cycle,” the Governor said.

BUDGET MANAGEMENT

Stating that Cayman has a high reputation among the UK’s Overseas Territories for prudent budget management, the Governor commended new Premier O’Connor-Connolly “for her work to remain within the boundaries of the Framework for Fiscal Responsibility (FFR) agreed between Cayman and Britain, and for her efforts to achieve a balance of revenue raising and efficiencies, while enabling growth in priority areas including new technologies.” And she recognised ex-Premier Wayne Panton saying: “I offer my thanks to the Hon. Wayne Panton, our former Premier, for his counsel and friendship in the last government.”

The Governor also addressed specific portfolio areas; education, health and infrastructure while acknowledging that these areas will be dealt with by the responsible ministers.

“Firstly education: We must continue to strengthen our schools, create new opportunities in tech, in apprenticeships and vocational choices, as well as providing affordable routes to university – including (and perhaps especially) in the United Kingdom. Secondly Health: as our population continues to grow and age (like me!), we are exploring better ways to deliver healthcare and promote healthy lifestyles. Next is infrastructure: we need to find the right balance between protecting our environment and keeping safe from hurricanes and flooding, while responding to the needs of our citizens and our businesses.”

ENVIRONMENT

On the issue of the environment, especially considering Cayman’s vulnerabilities, the Governor referred to the address by His Majesty King Charles at this year’s 28th UN Climate Conference whose timing coincided with the opening of Parliament.

”His Majesty King Charles noted that the world is “dreadfully far off track” in its efforts to retain the goal of keeping global warming within the 1.5 degree limit. He called on everyone – public and private sector - to pool their efforts to get data, to use technology and to work constructively together in order to “keep hope alive”. I believe that we can do the same here in the Cayman Islands.”

This she said was also particularly relevant in context of the just-ended hurricane season.

”As we reach the end of the hurricane season…I want to pay tribute in particular to the way in which our “crisis first responders” work together to prepare and protect us – thank you to Hazard Management, our emergency services, our Regiment, the Red Cross and the many other partners that support them.”

In closing, Governor Owen affirmed that “the United Kingdom remains committed to supporting Cayman in its domestic endeavours. It is never a one-way street – our partnership is built on mutual benefit and respect, and offers an often surprising source of inspiration and opportunities to learn and improve.”

Image credit: CIG GIS