Commonwealth Bank of Australia may pull out of Malta because the bank is to wind down its structured finance operations, amid supposed concerns about damage to the firm’s reputation for operating from a low-tax jurisdiction, according to The Australian newspaper.

Describing CBA’s presence in Malta – now a member of the European Union – as “controversial” – the newspaper said that the bank’s Malta-based unit contributed more than A$100 million ($88.4 million) in annual income.

The publication quoted no named sources for the story. One source said that senior structured finance staff at the bank have been considering their options. The bank did not comment.

The move comes against a backdrop of relentless rhetorical political pressure about so-called tax havens. Major industrialised nations, such as those in the Group of 20 organisation, have vowed to crack down on such jurisdictions to prevent leakage of tax revenues. Defenders of such centres argue that the G20 stance is merely an attempt to create a new form of economic protectionism.

CBA obtained a banking licence in Malta for CommBank Europe, one of its units, in 2005. The existing chief executive, Ralph Norris, has expanded the operation. The CBA holding company in Malta, called Newport, has a A$ billion balance sheet, the report said.