The Premier "will stop at nothing" to open up the Island to gambling, according to the Shadow Finance Minister.

Bob Richards accused Dr. Ewart Brown of attempting to "scare Bermudians into accepting casino gambling" but said it was no answer to the potential economic challenges which lay ahead.

"Gambling is not a silver bullet," said Mr. Richards in a statement last night.

The Opposition MP was responding to comments by the Premier to the BBC World Service, in which Dr. Brown said Government would have to consider gambling revenue if US attempts to include Bermuda in a 'tax haven' crackdown were successful.

Mr. Richards also criticised the Premier for comments to the BBC that it was not "out of the realm of possibility" that Bermudians might have to start paying income tax.

This would only serve to scare international business away, said Mr. Richards.

In the World Service interview, Dr. Brown claimed Bermuda had been unfairly targeted by some US politicians eager to close a "loophole" which allows reinsurance companies here to operate in the US.

He said the role of smaller, low-tax countries was misunderstood by bigger, richer nations. And if the US attempt was successful, Government would have to look at other sources of revenue, including setting up a gambling sector.

Church groups and politicians including Government MPs have consistently opposed gambling on the Island.

The Premier's cruise ship gaming bill was rejected by 18 votes to 11 in the House of Assembly in July. If passed, the Prohibition of Gaming Machines Amendment Act 2009 would have allowed ships to open casinos in port between 10 p.m. and 6 a.m.

Despite the defeat, Cabinet is currently considering a $300,000 independent report on the impact gaming would have in Bermuda.

Dr. Brown launched the review, by New Orleans-based consultants Innovation Group, last October after hoteliers lobbied him to relax the Island's gaming laws.

Commenting on the Premier's BBC interview, Mr. Richards said last night: "In his recent pronouncements on the possibility of gambling and income tax in Bermuda the Premier has shown the world two disturbing attributes of his approach to government: that he will stop at nothing to promote his pro-gambling agenda; and that he does not have a full understanding of our economy and the factors that are important in it.

"Dr. Brown's pro-gambling views are well known, but gambling is not a silver bullet. It will not, on its own, solve the crisis in the hotel sector.

"Neither will it, on its own, liberate the hundreds of millions of dollars of investment funds that are required to redevelop our accommodation offerings for our visitors. Casino destinations have not been immune from this recession."

He said: "Dr. Brown is trying to scare Bermudians into accepting casino gambling on-Island, and running scared is no way to plan for our future.

He has commissioned a study on the matter but has not articulated a coherent plan that Bermudians can study, analyse and form an opinion on.

"Like it or not, Dr. Brown is going to need the buy-in of the majority of Bermudians and he is not going to get it with this 'father knows best' approach; particularly after the Uighurs debacle.

"The Premier raising the spectre of enacting income tax shows a lack of understanding of the structure and the nuances of the Bermuda economy. The Exempted Undertakings Act provides a Bermuda Government guarantee to exempted companies that no income tax will be levied up to the year 2016.

"International business (exempted companies) are the only profitable primary industry we have in Bermuda. Why would a Premier publicly suggest even the possibility of a policy that the sector would find abhorrent, particularly when so many of Bermuda's competitors are spending megabucks to woo our business away; and they're having success doing it.

"He is giving our competitors ammo to fire at us. As Bermuda Premier, his job is to attract international business not chase it away. He appears to be completely oblivious of how much tax revenues arise because of international business."

Mr. Richards added: "Now the Finance Minister (Paula Cox) is going to have to scurry around trying to do damage control with our exempted company partners over her boss's blunder.

"This is yet another example of statements or actions by this Premier without taking the time to think the matter through and formulate a coherent plan."

In his interview with the BBC, Dr. Brown, asked if locals might have to pay income tax to raise revenue, replied: "I wouldn't predict it but I wouldn't take it out of the realm of possibility. We will survive. We'll do whatever we have to do."