Agenda item

Report of the Chamberlain.

The Committee received a Report of the Chamberlain concerning City Re Ltd.

A Member raised a query as to why the Corporation had not sought to place this business in London, given our role as a champion of the UK’s Financial Services sector. The Chamberlain responded that captive insurance is not offered in London which is why we have placed our business within the market leader, namely, Guernsey. The Deputy Chairman added that Guernsey is a centre for this and Corporation derives value for money from placing our business there, it should also be recognised that lot of the captive insurance business is initially brokered through London, so we are not completely locked out of this area.

The Member responded that this was unfortunate given our role and asked whether we could make representations to HMT about examining how this market could be developed in London. The Chair of Policy & Resources responded that she would reach out to officers in the Department for Innovation and Growth and come back to the Member in the next few days with more details. She added that it would be important to understand whether this issue was something which the industry in London wanted to explore, as a change in regulation would need cross sector consensus.

The Chairman welcomed these comments and pointed out that, particularly post-Brexit, potential changes to regulation should be viewed from the perspective of the challenger not just the incumbent.

RESOLVED – that the Committee noted the Report.