Govt, OBA & City Respond To Privy Council Ruling
[Updated] The Government said they welcomed today’s “judgment by the Judicial Committee of the Privy Council, which upholds its position on the Municipalities Reform legislation.”
A Government spokesperson said, “The decision affirms the Government’s position that modernisation of Bermuda’s municipalities is both lawful and necessary to ensure the continued vitality and sustainability of the City of Hamilton and the Town of St. George’s for the benefit of all Bermudians.”
Deputy Premier and Minister of Housing and Municipalities Zane DeSilva explained, “The Government welcomes the Privy Council’s decision, which is consistent with our longstanding view that reforming Bermuda’s municipalities is essential to their future growth, good governance, and alignment with the island’s broader development goals. This judgment provides clarity and finality on an issue that has been the subject of legal uncertainty for several years. It allows us to move forward with confidence and a renewed focus on progress and partnership.”
“The Government is committed to working in close consultation with the Corporations of Hamilton and St. George’s, recognising their historic importance, community leadership, and enduring contributions to Bermuda’s heritage and prosperity. We will engage constructively with both municipalities to shape the next phase of reform—one that honours their legacy while strengthening governance and service delivery in a manner that is modern, transparent, and equitable.”
The spokesperson said, “The Deputy Premier emphasised that the principles of partnership, accountability, and public interest will guide this process.”
The Minister continued, “Our aim is not merely structural reform, but renewal, ensuring that both the City of Hamilton and the historic Town of St. George’s continue to thrive as vibrant, inclusive, and economically resilient communities that serve all Bermudians.”
The spokesperson said, “The Government thanks all stakeholders for their engagement throughout this process and reaffirms its commitment to maintaining open dialogue as it determines the next steps in advancing municipal reform.”
OBA’s Response
Update 4.27pm: Shadow Minister of Housing & Municipalities and Home Affairs Michael Fahy said, “With the final judgment now rendered it is important to hold the government to the statements made in relation to consultation on the way forward. It is clear that the proposals made by the government subject to the litigation were not popular, so hopefully Minister DeSilva recognizes this and does not just attempt to bring back the reform bill in its current form to parliament.
“That would fly in the face of the statements he made today. Central government control does not mean efficiency. Equally the Corporations are far from perfect so there is scope for compromise. The OBA is prepared to assist to find a solution.”
City’s Response
Update 4.41pm: A City of Hamilton spokesperson said, “The City of Hamilton acknowledges receiving today’s ruling by the Judicial Committee of the Privy Council. While we are disappointed by the outcome, we respect the decision of the court and will carefully review the judgment before determining our next course of action.”
Mayor Charles Gosling said, “For more than two centuries, the Corporation of Hamilton has served this community with accountability, transparency, and fiscal prudence. We have delivered services that directly and positively impact the daily lives of our residents, businesses, and visitors. That legacy is something we remain deeply proud of and always will.
“We are still studying today’s judgment. However, it does not itself abolish the municipal corporations. What it determines is that certain pre-existing legislation is lawful and constitutional; and that the provisions of the proposed Bill do not amount to a breach of electors’ freedom of political expression or a deprivation of property.
“The Bill may therefore proceed without being in breach of those rights. Importantly, the Privy Council appears to have confirmed that the right to the protection of the law remains enforceable, and does not appear to have made any ruling which would permit the Government [without compensation] to directly take possession of or acquire Corporation property, whether buildings, vehicles, or other City-owned assets. Any improperly compelled movement of title or transfer of assets would remain a constitutional matter.
“It is also significant to note that the status quo remains unchanged for now. The only effect of the ruling is to permit the Government’s proposed legislation to move forward through the legislative process.”
The spokesperson said, “Public sentiment has consistently underscored the value of local democracy. A Government-commissioned consultation in 2019 found that 98 percent of respondents opposed interference in the management of Hamilton and St. George’s. That same year, the Senate rejected a proposed Bill to convert the municipalities into unelected bodies, highlighting the community’s belief in the importance of local representation.”
Mayor Gosling said, “Our commitment to Hamilton and its people has not changed. We remain dedicated to serving our stakeholders and to ensuring the City continues to thrive as Bermuda’s economic and cultural heart. Our aim is to do whatever is best for the City, the island, and our staff.
“We are actively seeking constructive dialogue and will be meeting with our union partners to ensure that the best interests of their members, and of the wider community, are protected. The previous Minister, The Hon. Walter Roban, under his former remit as Municipalities Minister has stated that no one’s job is at risk, and we will continue working collaboratively to safeguard the services and employment that the City provides.
“Local government has always played a vital role in the life of our community, often more responsive, more accountable, and more closely connected to the people it serves than any national body. That spirit of service will continue to guide us.”
The spokesperson said, “As part of the next steps, the City notes that Minister of Housing and Municipalities Zane DeSilva will meet with City staff on Friday morning. We welcome the opportunity for him to address staff directly and to answer their questions in the spirit of open dialogue and constructive engagement.
“The City of Hamilton extends its sincere thanks to the ratepayers, residents, businesses, and partners who have supported us. Together, we look forward to building on that legacy and continuing to shape a vibrant, safe, and prosperous future for Bermuda’s capital.”
OBA Shadow Minister for Legal Affairs Scott Pearman’s Response
“The Privy Council has today ruled that the PLP Government does have the power to strip the Corporations of Hamilton and St. George’s of their democratic legitimacy.
“The fact the PLP has this power, does not mean the PLP should now wield the power.
“Democracy is the cornerstone of free societies. Ripping out the democratic heart of Hamilton and St. George will cause irreparable harm to both.
“The PLP should stop now — and think again — before seeking to deny democracy to Bermudians.”
The full judgment follows below [PDF here]:
