The spate of departures of Bermuda international companies to Europe is a matter of concern, but this is no time to panic.

That was the message yesterday from a business leader and a politician who believe the trend is a signal to the Island to do everything possible to maintain its attractiveness as a domicile.

Yesterday, shareholders of health care products manufacturer Covidien approved a move to Ireland, just a day after global business consultancy Accenture announced its plans to head to Dublin.

David Ezekiel, chairman of the Association of Bermuda International Companies (ABIC), said the corporate departures were a concern, but Bermuda had far more to offer than just tax advantages.

And the United Bermuda Party's finance spokesman Bob Richards said the Island had to redouble its efforts to get its message across to Washington lawmakers and said the Island was now facing a "dangerous atmosphere".

Over the past six months, industrial conglomerate Tyco International, electronics giant Tyco Electronics, oil company Weatherford International and engineering company Foster Wheeler have all announced plans to move to Switzerland.

Pharmaceutical firm Warner Chilcott, along with Covidien and Accenture, are headed to Ireland, while VistaPrint is to redomicile to the Netherlands.

Most appear to be leaving in anticipation of changes to the US tax code they see as probable under the Obama administration. The growing attention paid to offshore financial centres by major powers looking to raise badly needed extra tax revenues appears to be making Bermuda less attractive to some.

As Jim McAvoy, a spokesman for Accenture, told The Irish Times this week: "We have become concerned that the ongoing criticism of companies that are incorporated in Bermuda has raised questions that we need to address."

Mr. Ezekiel said: "This trend is certainly a concern. The companies moving so far have been companies without a substantial physical presence in Bermuda, companies that have their corporate headquarters in Bermuda for tax or regulatory reasons.

"When any company moves away, it is unwelcome, however, and we can't take our eye off the ball."

The key was for the Island to focus on attracting new companies to the Island, rather than trying to hang on to those already here, and to maximise the Island's attractiveness as a domicile.

"None of this suggests we can be complacent and none of this suggests we should panic," Mr. Ezekiel said. "We need to keep doing what we are doing and to re-examine our model.

"We have to do everything we can to win the hearts and minds of the decision-makers in these companies. If we do those things, not only in terms of regulation and legislation, but from a personal and community viewpoint, then I think our future is assured."

Mr. Richards said he had been concerned since the drift of Bermuda companies to Europe started last year and added the Island had to do more to put its case to lawmakers in the US and elsewhere.

"I've very concerned but I don't think we should be panicking," Mr Richards said. "Companies come and go, but the important thing is the net flow. If the net flow is out, then that's worrying.

"The most important thing is what happens with US tax policy and how it affects Bermuda. While some companies are making pre-emptive moves, I think many will wait and see what happens.

"Some of it is outside our control and that's the scary part. But we have to keep doing what we've been doing and do it better.

"We need to redouble our efforts in telling our story to the important folk in Washington and London — it's clear we have to keep our eye on that ball too. We have to tell them until we're blue in the face and I know we're not doing that at the moment.

"Speaking to people in Washington once a year is not enough and before (US Consul General) Gregory Slayton came along, we were not going at all. We have to leave no stone unturned because this is our future."

The largest employers among Bermuda's international companies are insurance companies and brokers — and departures in that industry would be more serious for Bermuda in terms of jobs lost than those to have left so far.

Earlier this week, Business Insurance magazine reported comments by Hans-Joachim Guenther, a leading executive of Bermuda-based reinsurer Endurance, who said it would be "easy" for insurance companies to redomicile and if Bermuda lost its tax advantages, businesses would probably leave.

Mr. Ezekiel conceded that, logistically, it would be easy for insurers to move, but added that the tax advantage was not the most compelling reasons for insurers to be in Bermuda, which has established itself as a major global industry centre.

"While US tax changes have been mooted, they're a very long way from being done," Mr. Ezekiel said. "And the work being done by Government and ABIR (the Association of Bermuda Insurers and Reinsurers) has been wonderfully positive for Bermuda in getting the message across that this is not a no-lose decision for the US and would almost inevitably lead to an increase in insurance premiums.

"Tax is only one factor that comes into a company's thinking when they decide whether they want to be based in Bermuda or not. It's clear that there are other factors that will tilt the scales in Bermuda's favour."

Mr. Richards said the Endurance executive had just been stating the obvious, but that people on the Island needed to be aware of how easy it was for an insurer to change domicile.

"Some people think companies can't leave behind the tangible assets they have in Bermuda," Mr. Richards said. "But those are just a fraction of their total assets and it is not difficult for them to leave. Sometimes it's a useful thing to state the obvious."

Looking ahead long-term, Mr. Richards said the Island also needed to improve domestic factors that could come under consideration in the choice of domicile.

Issues like crime and public safety, public education, work permits and Government efficiency were all factors that might influence a company's thinking.