Tough proposals to force the UK's tax havens to reveal the names of people hidden behind trusts, companies and account holders have been drawn up by the Treasury, according to reports.
The draft UK equivalent would require British tax havens to report on UK account holders to UK tax authorities.
A senior politician in Jersey has said it is time for the island to break the "thrall of Whitehall" and declare independence from the UK.
Sir Philip Bailhache told The Guardian:
I feel that we get a raw deal. I feel it's not fair … I think that the duty of Jersey politicians now is to try to explain what the island is doing and not to take things lying down.
The island should be prepared to stand up for itself and should be ready to become independent if it were necessary in Jersey's interest to do so.
A senior Jersey politician has called for the island to "be ready to become independent" after the Government pledged to tackle its tax schemes.
Sir Philip Bailhache, the island's assistant chief minister, wants officials to begin preparations for severing links with the UK, claiming the largest of the Channel Islands was getting a "raw deal".
The Guardian is reporting that political attacks on the finance industry have made it "very plain" there is a clash of interests.