Doing business with the Falkland Islands
Information for companies and individuals conducting economic activity in the Falkland Islands or supplying (directly or indirectly) goods and services to the Islands.
Overview
The UK Government supports all legitimate economic activity in the Falkland Islands and welcomes continued private-sector interest and involvement in the Islands.
This guidance is for companies and individuals that:
- conduct business or other economic activity in the Falkland Islands
- supply goods or services to the Falkland Islands
- are otherwise involved (directly or indirectly) in the development of the Islands’ economy, including exploitation of its natural resources
The UK Government fully supports the right of the Falkland Islanders to regulate their economy and develop their natural resources, including hydrocarbons, for their own economic benefit. This is an integral part of their right of self-determination.
The status of the Falkland Islands
The Falkland Islands are a British Overseas Territory. The UK Government has no doubt about the United Kingdom’s sovereignty over the Falkland Islands and the surrounding maritime areas. We will not discuss sovereignty unless and until the Islanders so wish.
The UK Government is committed to supporting the Falkland Islanders’ right of self-determination. This principle is set out in:
- Article 1 of the Charter of the United Nations
- Article 1 of the International Covenant on Civil and Political Rights
- Article 1 of the International Covenant on Economic, Social and Cultural Rights
The Falkland Islands have been administered peacefully and effectively by the United Kingdom since 1833, except for a short interruption in 1982. Argentina does not exercise sovereignty or jurisdiction over the Falkland Islands. Argentine domestic law does not apply within the Islands.
Commercial activity and natural resources
The UK Government recognises the opportunities and potential benefits that legitimate commercial activity can create for both Falkland Islanders and participating businesses.
The Falkland Islands Government is responsible for regulating all economic activity within the Falkland Islands.
The UK Government supports the right of the Falkland Islanders to develop their natural resources, including hydrocarbons, for their own economic benefit. Decisions on the development of those resources are matters for the Falkland Islands Government and the commercial companies involved.
Hydrocarbon activities on the continental shelf of the Falkland Islands are regulated under Falkland Islands legislation, in accordance with the United Nations Convention on the Law of the Sea, and the UK Government fully supports the Falkland Islanders’ right to pursue such activities.
Argentine measures against businesses
Some companies and individuals may receive correspondence from the Argentine authorities concerning their activities in or connected with the Falkland Islands. The UK Government’s position is that Argentina has no right to exercise jurisdiction over the Falkland Islands or to apply its domestic law within the Islands, nor towards any companies or individuals participating in business in or connected with the Islands.
Argentina has previously introduced measures under its domestic legislation intended to deter companies and individuals from undertaking legitimate and lawful commercial activity in or connected with the Falkland Islands.
Previous Argentine measures have not prevented the Falkland Islanders from developing a successful economy. Such measures have been in place for many years, and throughout that period the Islands’ economy has continued to grow.
The UK cannot see the basis upon which the courts of any country outside of Argentina would be able legitimately to exercise jurisdiction in respect of these measures.
The UK Government will continue to support the Falkland Islanders and to make its position clear to the Argentine Government, in international organisations and directly to companies seeking reassurance.
Obtaining legal advice
This guidance provides a statement of the UK Government’s position, but does not constitute legal advice.
Companies and individuals that receive correspondence or threats of legal action from the Argentine authorities should obtain independent legal advice on their particular circumstances.
UK Government support
The Foreign, Commonwealth & Development Office welcomes contact with any companies and individuals undertaking economic activity in the Falkland Islands or supplying goods and services to the Islanders.
Where a company, or a subsidiary or supplier of that company, comes under pressure in a third country in connection with legitimate and lawful Falkland Islands business, the UK Government is ready to make its position clear directly to any company seeking reassurance.
Businesses seeking further information about the UK Government’s position can contact:
Overseas Territories and Polar Directorate
Foreign, Commonwealth & Development Office
King Charles Street
London
SW1A 2AH
Companies seeking practical assistance with exporting or overseas business activity can also consult the UK Government’s overseas business risk service.