To ask Her Majesty's Government when they expect to publish Sir Robin Auld's final report on the Turks and Caicos Islands. [HL4265]

The Governor received the Commission of Inquiry's final report on 31 May. Once it has been considered in detail, and taking into account to the judicial review proceedings before the courts in the Turks and Caicos Islands, the Governor will make a further announcement about when it might be published.

To ask Her Majesty's Government what assessment they have made of the financial consequences to the United Kingdom of imposing direct rule on the Turks and Caicos Islands. [HL4267]

No decision has yet been taken to bring into force the Order in Council suspending parts of the Turks and Caicos Islands constitution for an interim period of two years. Any such decision will be taken after the final report of the Commission of Inquiry has been given careful consideration. The final report was received by the Governor on 31 May and his now being considered by the Governor, the Foreign and Commonwealth Office and UK Ministers.

In his interim report of 28 February, Sir Robin Auld, heading the Commission of Inquiry into possible corruption or other serious dishonesty in relation to Members of the Turks and Caicos Islands House of Assembly, stated that the territory's finances were in dire straits and poorly controlled and that “the financial situation is so bad that the Government cannot pay many of its bills as they fall due”.

We have already taken steps to help improve the situation and an adviser on public financial management (funded by the Department for International Development) arrived in the Turks and Caicos Islands in April to work with the Ministry of Finance in support of the Territory's Fiscal Stabilisation Plan. We are considering what further expert advice will be required. Firm measures will be needed to bring the financial situation and economic situation under control. In any event, the Government of the Turks and Caicos Islands will remain responsible for their own debts.