Benefits of Caricom are unclear
Dear Sir,
I write following the public meeting on Bermuda’s consideration of full membership in the Caribbean Community (Caricom), as concerns remain about the implications of the proposal.
On Tuesday, May 19, I attended the meeting at Penno’s Wharf in St George’s organised by the Ministry of Home Affairs. The session appeared more as a presentation than a public consultation, with limited opportunity for audience participation.
The Government has published The Story of Us – the Green Paper on Bermuda’s Application for Full Membership in Caricom, which outlines Bermuda’s proposed move from Associate Member status — alongside territories such as the Cayman Islands, British Virgin Islands, Anguilla, Curaçao, Martinique, and the Turks and Caicos Islands — to full membership alongside 15 Caribbean nations.
Bermuda should carefully assess whether this level of integration is appropriate given its distinct economic position. It ranks among the highest globally in GDP per capita, with a significantly higher standard of living and wage structure than most Caricom member states.
Bermuda’s economy also operates as an international financial centre supported by a tax-neutral framework that has attracted significant insurance and reinsurance business over many years. This differs materially from most Caricom economies.
Geographically, Bermuda is in the North Atlantic, approximately 700 miles east of the United States mainland and nearly 1,000 miles north of the Caribbean region. Its trade and supply chains are primarily aligned with the United States, Canada, and the United Kingdom, from which most essential goods are imported. With New York less than a two-hour flight away, Bermuda’s economic orientation is firmly North American.
Education and professional pathways for Bermudians are also largely linked to the US, Canada and the UK.
While Caricom members do trade with Canada and other partners, Bermuda already operates within established North Atlantic networks. It is unclear what material trade benefit full membership would provide.
Bermuda also benefits from its constitutional relationship with the United Kingdom, unlike most Caricom full member states, which are independent nations. These structural differences are relevant when considering deeper integration.
Having lived in the Caribbean for around ten years, I am familiar with the region’s differing economic and governance structures.
Concerns have also been raised regarding the “Caribbean Single Market and Economy”, particularly provisions on the “Free Movement of Skilled Persons”, which would allow certain categories of Caricom-skilled workers to seek employment without work permits. This is a significant consideration for a small jurisdiction such as Bermuda.
It was previously understood that assurances had been given that Bermuda would not participate in free movement of people, which may require clarification.
Cost is another factor. The estimated annual membership contribution is at least $2.8 million, rising above $3 million once travel and participation costs are included. These funds could instead support pressing domestic priorities such as housing, infrastructure and charitable services.
If clear and substantial benefits to Bermudians were evident, the proposal would be easier to support. However, at present, those benefits are not clear.
Given the significance of the issue, Bermudians should be given the opportunity to decide through a referendum.
WENDY STEWART
Southampton
Editor’s note: Alexa Lightbourne, the home affairs minister, has said the annual dues for Caricom would be lower than $2.8 million if Bermuda became a full member
