(The Guardian): The Conservative party treasurer is calling for a major change in tax laws so that Britain can compete with offshore havens. Lord Fink, the Tory donor and hedge fund chief, disclosed in an interview that he had lobbied George Osborne for a cut in taxes on invisible earnings so that he and other hedge funders no longer feel obliged to set up companies in places such as the Cayman Islands. His comments came as a Guardian investigation reveals that 68 MPs and peers, who can influence Britain's tax laws, are either directors or non-executive directors of firms linked to tax havens. The findings show how widespread the use of offshore jurisdictions has become in British business life – even by companies which have lawmakers and major public figures on their boards.

Politicians and companies have claimed that many of the offshore firms are established in these jurisdictions for operational business functions or administrative reasons rather than to secure a lower tax liability.

Fink, who is a director of three firms which have subsidiaries or a parent company in the Cayman Islands, Luxembourg and Guernsey, said: "I don't see why the UK should not compete for jobs that at present are going to the Cayman Islands. I lobbied George Osborne when the Tories were in opposition. I have long felt that the British government loses jobs to tax havens by allowing the Revenue to have these rather archaic rules."

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