The Isle of Man has seen deposits rise by 19 per cent and funds under management and administration by 76 per cent according to the Isle of ...

The Isle of Man has seen deposits rise by 19 per cent and funds under management and administration by 76 per cent according to the Isle of Man Financial Supervision Commission's Annual Report for 2005/06. This last year has been challenging with fierce competition in the offshore world, said the report. The island's success was bolstered by the government's fiscal strategy of introducing zero rate corporation tax and a cap on personal income tax. For the last two years the number of new incorporations of Isle of Man companies has continued to increase. Currently the total is up over 40 per cent on last year. The report also mentions a major move to consolidate and modernise its financial services legislation, by proposing to enhance accountability and transparency. The commission has set out a mechanism under which there would be involvement of the industry in the setting of regulatory strategy. This includes proposals for the regulation of e-money, to be drawn up in conjunction with the e-business sector. The commission has also recognised an invitation to become a full signatory to the IOSCO Multilateral Memorandum of Understanding, to co-operate and provide assistance to other regulators. Last year also saw legislation for licencing and supervision of trust service providers.