A change of government in Canada is unlikely to lead to a crackdown on offshore jurisdictions, a Bermuda-based financial expert predicted yesterday.

Canadian-born Nathan Kowalski, chief financial officer of Anchor Investment Management and a regular columnist in The Royal Gazette, said the Liberal landslide that derailed the ruling Conservatives would probably not affect the country’s relationship with Bermuda.

The right of centre Conservatives had won the last three elections — but the left of centre Liberals, led by Justin Trudeau, recovered from a devastating election four years ago to regain power.

Mr Kowalski said: “The Liberals are probably middle of the road.”

And he agreed that — unlike European governments and the US — the Liberals were not likely to focus on offshore business. However, it has signalled it will increase taxes on individuals and corporations at the top end.

Mr Kowalski said: “Without knowing and not seeing anything specific in the campaigning, I would suggest that won’t happen.”

He explained that the tax arrangements favouring non-domiciled residents in the UK, where, although individuals live there, they are not taxed on the same basis as UK nationals, was not a problem in Canada.

Mr Kowalski said: “There isn’t an equivalent in Canada, so it doesn’t directly come up.”

He added: “I know we signed a tax information exchange agreement with Canada in the last few years and I’m not sure what the Liberal stance is on that.”

But he said that the Canadian dollar had rallied in the wake of the Liberal victory and the stock market had risen by 0.6 per cent — which suggested big business was comfortable with a new administration.

Mr Kowalski added: “The markets aren’t punishing the Liberal win, even though it is a more leftist party than the Conservatives.”

Monday’s election saw the Liberals take 184 seats, well ahead of the Conservatives’ 99 in an election pundits predicted would lead to a minority Liberal administration.

The left-wing New Democrats — which at one stage was the front-runner — came third with 44 seats.

Mr Trudeau, 43, the second youngest Prime Minister in Canadian history, is the son of the late Pierre Trudeau and his wife Margaret. Pierre Trudeau took office as Prime Minister in 1968 and lead Canada for most of the next 16 years.