British troops on Cyprus face UK government U turn

Published:  19 Mar at 6 PM
Want to get involved? Become a Featured Expat and take our interview.
Become a Local Expert and contribute articles.
Get in touch today!
Just one day after he had insisted that the savings accounts of British troops based in Cyprus would not affected by the EU’s savings grab, Treasury Minister George Osborne has enaged on his promise.

Servicemen and women will only now be compensated for ‘reasonable losses’ if their savings are connected with their military service in the country. According to a spokesperson from the Ministry of Defence, the u-turn means that those who had transferred funds from the UK to a Cypriot bank for use in retirement or real estate purchase will be hit.

With anger amongst the island’s citizens and resident expats growing stronger by the hour, it now seems likely that the government could reject the savings levy. plunging the county into a banking collapse and debt default. British pensioners are joining in the protests after the UK government announced suspension of pension payments until after the vote on the levy.

Conditions are worsening on the holiday island as the banks remain closed and cashpoints are still empty, with thousands of residents attempting to change their bank accounts online to escape the controversial tax. Panic amongst local and EU politicians is resulting in news breaks suggesting lower taxes for those with smaller savings and even exemption for those with less than €100,000 in savings.

A surprise intervention today by Russian president Vladimir Putin, who stated the levy was dangerous, unprofessional and unsafe, included a proposal that Russia would offer a restructuring deal to the country’s banks in exchange for Gazcom concessions in the Cyprus exclusive economic zone. Press reports are linking the island’s multi-millionaire Russian expats with both Putin himself and the now privatised KGB.
Like this news?

Comments » No published comments just yet for this article...

Feel free to have your say on this item. Go on... be the first!

Tell us Your Thoughts On This Piece:

Your Name *
Email * (not published, needs verification one time only)
  • Facebook
  • Follow us on Twitter
  • RSS feed
  • Facebook

Latest Headlines

News Links

News Archive