LONDON -- A new deal proposing full UK nationality for Bermudians is not set to be a two-way street, the Island's next Deputy Governor said yesterday.

Tim Gurney, due to take over from current office holder Peter Willis next month, said: "My understanding of it is, if the bill goes through, Bermuda would get nationality and entry.

"There is no impact for Bermuda directly from British immigration.'' The Bermuda Government has already said it will not accept easier access to Britain or full UK citizenship if it means dismantling the Island's tough immigration policy to accommodate a flood of British people.

But Mr. Gurney's statement is the first official confirmation that the UK has turned its face against insisting on a reciprocal deal with the remaining Territories, mostly tiny and with no spare capacity to cope with an influx of settlers.

Mr. Gurney was speaking on the first day of a two-day Foreign Office meeting in London, called to discuss the possible effects of a European and international crackdown on so-called "harmful tax jurisdictions''.

The announcement of the drive to pull dodgy jurisdictions into line sent shock waves through Bermuda and other Overseas Territories like the Cayman Islands, which depend heavily on the offshore financial sector for income.

And Bermuda has already said it's set-up does not deserve to end up on a EU or Organisation for Economic Cooperation and Development hit-list.

Mr. Gurney stressed he was at the meeting as an oberver and was not fully briefed on the tax situation.

But he said: "It will probably be resolved a lot more easily than the Island thinks.

"But I'm sure the tax thing will be a very challenging issue when I take up my post.'' Premier Pamela Gordon and Finance Minister Grant Gibbons, together with heads of Government from Overseas Territories like the British Virgin Isles and Gibraltar, were locked in secret talks with top officials from the UK Treasury and Foreign Office in London all day yesterday.

Mr. Gurney said he was pleased to get the opportunity to meet top Government figures in advance of taking up his new job.

He said: "My first challenge will be working out my own niche between the Foreign Office and the Government of Bermuda.

"I effectively work for the Government of Bermuda -- I have two bosses so it will be interesting.'' Mr. Gurney -- in his first-ever interview with the Bermuda media -- added: "I've been reading a lot about Bermuda because it's not somewhere I know a lot about.'' But he added his mother came from Jersey, so he was familiar with smaller islands.

Mr. Gurney said: "Bermuda is a small place -- people know each other and I like that.

"And I know there are perceived racial issues which have arisen over the years and I would really like to try and help there.'' Mr. Gurney is set to retain the down-to-earth style and approach of his predecessor.

And he said: "I want to make a difference in a small way, as best I can.'' IMMIGRATION IMM TAXES TAX