Bermuda is a self-governing British overseas territory in the Atlantic
Ocean, north of the Caribbean, off the coast of North Carolina.
Bermuda consists of about 138 islands and islets, with all the main
islands aligned on a hook-shaped but roughly east-west axis, and
connected to each other by road bridges. Despite this complexity,
Bermudians generally refer to Bermuda as "the island". In terms of
relief, the islands are made up of low hills separated by fertile
depressions and interspersed by a complex set of watercourses.
The Bermuda island chain was formed volcanically, and the exposed
islands are the caldera peaks of a submerged mountain. The bays of Great
Sound and Castle Harbor are two of the visible calderas. Over millions
of years after the end of volcanic activity, the surface of the islands
was covered by limestone deposits, calcareous algae and corals. The
remainder of the coral ring is submerged north of the calderas. As a
result, the northern coast of the inhabited islands is relatively
sheltered, while the southern coast is exposed to the ocean swell.
Consequently, most of the best beaches are on the south coast.
Bermuda has two incorporated municipalities: a city
and a town. There are also unincorporated municipalities (villages).
Bermuda is divided into nine regions called parishes, listed below from
west to east:
Sandys
Comprising Ireland Island, Boaz Island
and Somerset Island, Sandys is best known as the entry point for cruise
ship passengers. Includes the settlement of Somerset Village.
Southampton
Famous for its beaches and resorts, including the
much-photographed pink sand of Horseshoe Bay Beach.
Warwick
Includes Darrell Island, Hawkins Island, Marshall Island and Warwick
Camp.
Paget
It contains several popular beaches, including
Coral Beach and Elbow Beach. It is also home to Bermuda College, Bermuda
Botanical Gardens and the Bermuda Art Museum.
Pembroke
Includes the capital Hamilton.
Devonshire
Home to many nature
attractions including a national park.
Smith
At the southern
end of Harrington Sound and includes the Spittal Pond Nature Reserve.
Hamilton
Not to be confused with the city of Hamilton, it is home
to villas and the Bermuda Aquarium, Zoo and Museum.
St. George
Along with the city of St. George, are on the island of the same name,
in the northeastern part of Bermuda. Many popular beaches are here. Most
visitors arriving by plane land here at LF Wade International Airport.
It's the city of St. George, the first capital, a picturesque UNESCO
World Heritage Site and the oldest continuously inhabited British
settlement in the New World. It has small winding streets with typical
British colonial architecture with fountains, gardens and squares,
cobblestone streets and plazas.
1 Hamilton
2 St. George
3 Somerset Village
4
Flatts Village
1 Royal Naval Dockyard
2 Baileys Bay
3 Horseshoe
Bay Beach
Although the island is a member of the Caribbean Community (CARICOM),
it is not actually in the Caribbean Sea and, due to its more northern
location, has a different climate. The best time to visit Bermuda is
from spring to fall, with much cooler weather in the winter months than
the islands in the Caribbean Sea. Its location makes the island
vulnerable to hurricanes and tropical storms, with hurricane season
running from June to November. Gales and strong winds are also common in
the winter months.
The islands have abundant rainfall, but there
are no freshwater rivers or lakes. As a result, drinking water is
collected from the roofs of all buildings (by law) and in special
catchment areas, and stored in underground wells for each home or
property.
The official and main spoken language is English, although many Bermudians have a unique accent, unlike any other country in the Caribbean. In some cases, it can be similar to a southern American accent. The spelling used in the country is based on British English. Portuguese is the second most spoken language, a result of immigration from the Portuguese Atlantic islands over the last 100 years, particularly from the Azores.
Entry Requirements
One of Bermuda's few taxes is its high import
duty. This varies depending on the item and the importer. Some items are
duty-free when brought in for personal use (books, educational
materials). The duty on cars is set according to their value. If the
cost of the vehicle is less than $10,000, the duty is 80%. For cars
costing $10,000 or more, the duty is 100%.
Visitors are allowed
entry for no more than 6 months and usually only 21 days. The Bermuda
Immigration Department can extend the stay.
Bermuda no longer
issues visas. However, it does require that visitors need a visa for the
United Kingdom, United States or Canada (the only countries with air
connections to Bermuda) and present this visa upon arrival in Bermuda.
For visitors who require such a visa, both the passport and the visa
must be valid for at least 45 days beyond the end of the intended stay.
By plane
1 L.F. Wade International Airport (IATA: BDA Bermuda
Intl.), +1 441 293-2470 ✆. There are daily flights from Atlanta, Boston,
Charlotte, Miami, New York (JFK & LGA), Philadelphia, Toronto and
Washington, along with less frequent flights from other US and Canadian
cities. British Airways flies to Bermuda.
There is a $50 airport
tax for all passengers. Bermuda’s airport has the highest
landing/parking fee in the world for airlines, so the overall airfare is
considerably higher than for many Caribbean destinations. Non-residents
must have a round-trip ticket to clear Bermuda immigration.
The
airport is adjacent to Castle Harbour and closer to St. George than
Hamilton (although no part of Bermuda is far from either). If you are
arriving on a tour, your tour operator will likely arrange
transportation to your hotel by private coach. The airport is well
served by local public buses, but unfortunately they do not accept
luggage.
Taxis are available at the airport; depending on the
time of arrival and destination, they can cost up to US$100. Fares to
and from the airport are set and published. Rental cars are not
available.
An advantage for visitors arriving from the United
States is that customs and immigration clearance is completed prior to
boarding your flight home. This allows for easy domestic connections
upon arrival in the US.
By boat
Bermuda receives many cruise
ship visits during the summer months, with most ships operating from the
ports of Baltimore, Boston, New York, Charleston, Norfolk, Miami and
Philadelphia on the east coast of the United States.
The same
customs and immigration rules apply as for air arrivals (above). There
are three different locations where cruise ships can stop in Bermuda,
and some ships visit more than one on a single cruise: Hamilton — Cruise
ships dock here just off Front Street, one of the main streets in
Bermuda’s capital city. Passengers here have access to Hamilton’s shops
and restaurants and can reach the rest of the island via the bus and
ferry systems. St. George — Cruise ships dock near the main square of
the small town and historic former capital. Passengers can reach
Hamilton and Flatts Village directly by bus. Historic Royal Naval
Dockyard — Only here can the largest cruise ships dock. Passengers can
reach Hamilton directly by bus or ferry. Bermuda is a favorite, albeit
challenging, destination for offshore yacht crews. The crossing from the
American mainland or the Azores can take up to 3 weeks in the
notoriously calm summer. The rest of the year, it can be very windy.
Another hazard: lots of floating debris from sunken ships and the
hurricanes of recent years. Within a radius of 200 nm from Bermuda,
collisions with solid objects are frequent and often fatal.
Yachts must clear Bermuda customs in St George. The only bargain left on
the islands is to bring your own boat and anchor, and you can moor for
free in all the islands' coves for up to 6 months. Check-in costs just
US$15 per person (US$10 cheaper than by air).
By Bus
The islands benefit from a bus service that connects all
parts of the islands to Hamilton. The bus is the cheapest way to get
around, and it can be a good idea to use it, but it does have some
downsides. The timetable is not always respected — especially outside
Hamilton, Bermudians often wait 15 or even 30 minutes at the bus stop.
The bus drivers are very polite, however, the first time you take a
bus you will be alarmed by the fact that the buses regularly crash into
palm fronds and other plants — they travel very, very close to the side
of the road — as well as by the speed reached on some streets (despite
the official speed limit) and by the sometimes erratic drivers. Bus
frequency is quite good in some areas, but only until 6pm; after that,
it is impossible to reach many parts of the islands by bus. The buses
are air-conditioned and are used by locals and visitors alike. If you
plan to use the bus, it is much more convenient to purchase a multi-day
travel pass at a post office in St. George or Hamilton.
When
catching a bus, look for the pink and blue painted poles that indicate
bus stops: pink indicates buses going to Hamilton; blue indicates buses
going from Hamilton. Buses do not accommodate passengers with a lot of
luggage, so they are not a recommended mode of transport to or from the
airport. For more information, visit:
Department of Public
Transport, +1 441 292-3851 ✆. Bus service operators.
By ferry
There are also passenger ferries that ply the waters of Hamilton Harbour
and Great Sound, and are a great way to get to Somerset and the
Dockyard. There is also a ferry service between the Dockyard and St.
George. Transit passes valid for both bus and ferry are available for
unlimited use for periods of 1 to 31 days and cost between $12 and $55.
A one-way bus or ferry ride costs $4. Ask the bus driver for a transfer
if you need to connect to another line. If you are boarding a cruise
ship at the dockyard, the ferry is the most economical way to get to
Hamilton.
Sea Express, +1 441 295-4506 ✆. (ferry service
operators).
By taxi
Taxis are another easy way to get around
the islands. They are available at taxi stands on Front St. in Hamilton,
at major hotels, or by phone. All taxis are metered and charge $6.40 for
the first mile plus $2.25 for each subsequent mile; or $8 for the first
mile with 5-6 passengers and $2.80 for each additional mile, for trips
between 6am and midnight. If you are not in Hamilton, you can always
flag down a main road or call for someone to pick you up.
With
many services in Bermuda, but especially with taxis, there is a concept
of “Bermuda Time”. You may find that when you call a taxi to pick you
up, it may not be as quick as you would like. This may mean waiting an
extra ten minutes, but remember that Bermuda is not as fast-paced as
many other places, it is much more relaxed and laid back here. So relax;
you are on Bermuda time. Enjoy the sights while you wait.
Bermuda
Taxi Radio Cabs, +1 441 295-4141 ✆.
Bermuda Taxi Association, +1
441 296-2121 ✆.
By Moped
Until the arrival of the American
military during World War II, cars were completely banned from the
islands. Car rentals are currently banned (except for the Renault Twizy,
a two-seater electric car), only residents are allowed to own cars and
those who prove they have resided for at least 30 days can obtain a
local driving license. Motorized bicycles or mopeds are available for
rent and are widely used by locals and tourists. If you wish to use
mopeds, rentals are very common, regulated and competitively priced. The
rule of the road is to drive on the left side of the road.
Elbow
Beach Cycles, +1 441 296-2300 ✆. scooter rental, cycle rental, moped
hire.
Oleander Cycles, +1 441 236-2453 ✆. Cycle rental.
There are a surprisingly large number of excellent sightseeing spots
on this small 21-square-mile island. The former limestone storage
buildings, towers and walls of the Bermuda National Museum have been
cleverly rebuilt by the Bermuda Government into a tourist attraction and
shopping centre. Bermuda has approximately 100 examples of large
fortifications scattered throughout the island, built between 1612 and
1957. Many have been restored, particularly the larger ones, and are
open to the public, as are the original cannons. Some are on remote
islands and cays and can only be accessed by boat, or have been
incorporated into private estates and resorts. The Bermuda National
Trust looks after a number of buildings, including the museum-style
Globe Hotel. Gibbs Hill Lighthouse edit is one of the oldest cast iron
structures in the world, first lit on May 1, 1846.
Containing a
replica of a coral reef, the Bermuda Aquarium, Museum and Zoo edit has
over 300 bird, reptile and mammal species and 200 species of fish; one
of Bermuda's top attractions.
Coupled together at the same
address, the Crystal Cave edit and Fantasy Cave edit are quite different
from each other, both reported to be incredible sights. There are
several nature reserves, including Spittal Pond. For a perspective of
the Bermuda Triangle, visit the Bermuda Institute of Underwater
Exploration just outside Hamilton.
Do
Bermuda has many golf courses scattered along its length.
Walk
along the old Bermuda Railway, dismantled in 1948 after 17 years of
service and reinvented as the Bermuda Railway Trail, a public walking
trail that stretches from St. George through Pembroke Parish near
Hamilton and on to Somerset Village in the far west. There are many
stations and spectacular views of land and water along its length.
You can head to one of Bermuda’s lovely pink sand beaches for a swim.
Bermuda’s currency is the Bermudian dollar (international currency
code: BMD) symbolised as $ (sometimes also B$), which is divided into
100 cents. The Bermudian dollar is pegged to the US dollar, so one US
dollar is always equal to one Bermudian dollar and US dollars are
accepted everywhere. Bermudian dollars are not, however, accepted
anywhere else in the world. It comes in the same denominations as US
currency, except for a two-dollar bill.
Bermuda can be expensive.
Because of Bermuda’s high import tax, all off-island products are marked
up significantly. When shopping for groceries or other non-souvenir
items, keep in mind that the best prices are usually found outside of
the most “touristy” areas. For example, a cup of yogurt might cost
around $1.60 at a supermarket near hotels; it will cost 25% less at a
supermarket further away from the tourist attractions, and only 10 cents
more than in the US. When shopping for these types of items, go where
the locals go, but try not to worry if the prices are much higher than
your typical shopping trip.
There is a good variety of shopping in Hamilton, especially on Front
Street facing the harbour, one of the main shopping streets, which is
easily explored on foot. AS Coopers, a store founded in 1897, is still
in business.
Shopping is also available in the walkable town of
St George's and the Dockyard, which has a small shopping mall. Smaller
shops can be found throughout the island, offering a variety of
products.
While shopping can seem relatively expensive in
Bermuda, there are a few ways to save money. The Island Pass offers
exclusive deals at over 60 locations. It can be purchased for $20 at the
Visitor Information Centres in Hamilton, Dockyard or St George's.
Much effort has been expended by hotel and restaurant chefs to
develop an ostensibly “traditional Bermudian cuisine”, although this
often means adapting other cuisines, from West Indian to Californian, to
suit the expectations of visiting clientele.
Most pubs serve
traditional British food, although the number of such establishments has
declined as premises have been lost to development or establishments
have been refurbished to appeal to the tourist market.
Although
lobster and other seafood are often featured on the menu, virtually
everything is imported from the United States or Canada. This is
reflected in the price of even casual dining and groceries: locally
produced food is typically less varied, produced in smaller quantities
and more expensive.
A law in Bermuda prohibits most multinational
fast food chains from opening restaurants on the island – the only one
allowed to operate is a Bermudian-owned KFC in the city of Hamilton.
Local specialities include:
Baked salt cod with potatoes – the
traditional Sunday breakfast.
Hoppin' John — boiled rice and
black-eyed peas.
Manioc pie — traditionally eaten at Christmas,
but is becoming more common in local markets year-round.
Bermuda
bananas, which are smaller and sweeter than other bananas, are often
eaten on Sunday mornings with cod and potatoes.
Fish is a common
feature on restaurant menus throughout the island. Fish soup, made with
tomatoes and other vegetables, and seasoned with pepper and dark rum, is
a local delicacy. Fish cakes are traditionally eaten on Fridays.
Restaurants can be found throughout the island, with the largest
concentration in Hamilton and St George's. In addition, there are
several in some of the hotels that are excellent, if expensive.
With most restaurants, the closer you are to the cruise ship docks, the
more expensive the menu will be. Most cruise ship passengers have little
time to experience Bermuda, and if they don't eat on the ship, most will
be reluctant to leave town to eat. Restaurants near the cruise ship
docks in, say, St. George's can be up to three times more expensive than
a similar restaurant in, say, Somerset Village.
Bermuda has two popular drinks:
Rum Swizzle is a rum cocktail made
with a variety of citrus juices. Sometimes brandy is added to the mix.
It's a pretty strong drink. According to local lore, it was named after
the Swizzle Inn (although swizzle is a term that originated in England,
possibly in the 18th century), where it is said to have been developed.
Dark n' Stormy is a dark blend of local rum. Both drinks
are comparatively very sweet.
Accommodation in Bermuda is often quite expensive. However, there are
excellent options available. There is also a wide range of smaller hotel
accommodation (with kitchenettes). In addition, some companies offer
private homes and apartments for short-term rental.
The
exorbitant cost of accommodation and airfare has had a negative effect
on tourism, which is shrinking by more than 25% each year. The local
government is therefore hoping that more low-cost airlines will come to
the island; for example, JetBlue flights have become available.
Cruise ships are the scapegoat for the decline in hotel stays. Compared
to Caribbean destinations, Bermuda is at least two to five times more
expensive for a similar product.
Around 20% of Bermuda's population are expatriates who work in the
legal and financial sectors. The country has very strict work permit
conditions. The Bermudians have implemented policies aimed at ensuring
that the local population is included in the economic prosperity and
professional opportunities, rather than foreign workers. There are laws
in place to encourage the employment of qualified Bermudians.
The
Bermuda government issues work permits for 1–3 years, which can be
extended at the government’s discretion. Each time you renew your work
permit, your employer must advertise for a Bermudian to take your job,
adding to the uncertainty. Your work permit is tied to your employer and
only full-time work is permitted. Citizens of the United Kingdom and the
European Union have no exceptions to these rules.
Permanent
residency is not available for foreigners, and only by marrying a
Bermudian and living there for 10 years can you be eligible for
citizenship.
Violent crime is becoming increasingly problematic in Bermuda, but it
is still very rare compared to other Caribbean destinations. The
majority of crimes are robberies. Using common sense and taking similar
precautions to those you would take in your home country should deter
most thieves.
The waters around the islands are frequented by
sharks. The most common are harmless and generally do not come close to
the coast. Mopeds are a very common target for theft; be sure to lock
any rental moped properly when leaving it unattended. Rental mopeds are
also prone to accidents due to the sometimes narrow roads and driving on
the left side, which can take some getting used to. Using common sense
and keeping calm in traffic helps.
Homosexuality is considered
taboo in public in Bermuda, even though it is legal. The local LGBT
community exists on a more discreet scale than elsewhere and there are
no LGBT+-specific venues. That said, some places are openly accepting of
gays and lesbians, and tourists in particular are unlikely to have any
problems.
Bermuda can get very hot during the day, so a bottle of water is very
useful for those venturing a short distance from their hotels.
The sun on the islands is very strong, due to the latitude and low cloud
cover. Be sure to apply plenty of sunscreen. Even a few hours of
sunbathing on a sunny beach can give you a nasty sunburn if you have
very fair skin.
The health care system in Bermuda is incredibly
expensive and is roughly on par with American standards. There is one
hospital on the island, the King Edward VII Memorial, with emergency
services including a decompression chamber. There is no
government-funded National Health Service.
It is considered good manners to greet someone, say “good morning”,
“good afternoon” or “good evening” and do the same when leaving. Most
Bermudians are very accommodating when it comes to helping or answering
any questions a visitor may have. Just stop someone on the street or go
into any store and ask.
Bermudians are generally a religious
people, with a large proportion of the population belonging to the
Anglican Communion or Roman Catholic Church, and the island has many
churches for a place of its size. Visitors would do well to respect this
in the same way they would when traveling to southern Italy, the
southeastern United States or Poland.
Bermuda was discovered in the early 1500s by the Spaniard Juan de
Bermúdez, who, however, did not land because of the dangerous reefs that
surround the island. In 1511, Peter Martyr of Anghiera published one of
the first maps showing the archipelago. It is named la bermuda. In the
same year, Spanish maps showing Bermuda were also published. Spanish and
Portuguese ships called at the still uninhabited Bermuda to stock up on
drinking water and meat. The coral reefs that surround Bermuda and the
superstition that devils live there usually kept sailors away from it.
The cries of the Bermuda petrel were mistaken by superstitious sailors
for the cries of the devil.
The first settlers were unwilling
English colonists on their way to Virginia. In a severe storm, their
ship Sea Venture ran aground on a reef in Bermuda on July 28, 1609. The
150 shipwrecked people were forced to go ashore. The group, led by Sir
George Somers, spent ten months there. They built two smaller ships from
the wreckage of the Sea Venture and from wood found on site, with which
they continued their journey to Virginia. Their reports about the island
attracted great attention in England, so that James I handed over
authority over the islands to the Bermuda Company in 1615. In 1612,
Saint George's was founded by around 60 British colonists. A deputy
government was set up in 1620, after which Bermuda became an independent
colony. The Anglo-American name Somers Isles for Bermuda derives from
this time.
Due to the islands' isolation, their economy initially
focused on trading in salt and on the wood of the Bermuda juniper, which
is well suited for shipbuilding. The centrally located port city of
Hamilton, founded in 1790, became the capital in 1815.
After the
end of the American War of Independence and the recognition of the
sovereignty of the United States of America in 1783, the Royal Navy no
longer had any naval bases between Nova Scotia and Spanish Florida. As a
result, Bermuda became the most important base of the British fleet in
the Western Hemisphere until Great Britain reduced the Royal Naval
Dockyard, Bermuda, to a small supply base (Malabar) in 1951.
During World War II, Bermuda became important for the USA. In 1941, the
US Army built two permanent military bases, in return for which the
British forces received surplus US Navy destroyers (Destroyer-for-Bases
Agreement). In 1943, the so-called Bermuda Conference took place there.
In 1995, the US, Canadian and British bases were closed. The British
army units had already been withdrawn in 1957, with the exception of the
Bermuda Volunteer Rifle Corps (BVRC) and the Bermuda Militia Artillery
(BMA), which were merged into the Bermuda Regiment in 1965.
After
the Second World War, Bermuda developed into a successful tax haven
economically. The territory has been on the UN list of
non-self-governing territories since 1946. In 1968 it received a
constitution, which strengthened the desire of some citizens for
independence. But in the referendum on August 16, 1995, this request was
rejected by a large majority: 74% of voters voted against independence.
Bermuda was formed on a volcano that died out around 30 million years
ago; the island on its peak lies about 4500 m above the sea floor on the
water surface. Volcanic rock is therefore found beneath the coral base.
The coral base was exposed to weathering during the Ice Age and the
associated drop in sea level and as a result has many caves, of which
only a small part, above the water, has been explored and accessed.
Only recently was it discovered based on the isotope composition of
the volcanic rock that the volcano was probably fed, quite unusually, by
a fault in the mantle transition zone (400 to 650 kilometers deep).
The archipelago consists of around 360 coral islands, of which only
around 20 are inhabited. The island of Grand Bermuda is by far the
largest at 39.3 km². Somerset Island borders the main island to the
northwest and Saint George's Island to the northeast.
The highest
elevation in the country is Town Hill at 79 m. The islands are extremely
fragmented and there are numerous karst caves. The island is surrounded
by coral reefs. These are the northernmost tropical coral reefs in the
world. There is only one place in eastern Bermuda where large cruise
ships or container ships can pass the reefs. Since there are no rivers
or lakes on the islands, fresh water is scarce and rainwater is
collected in cisterns on the roofs.
The shortest possible air
distance to the United States (North Carolina) is 1037 km (Cape Hatteras
on the offshore spit) or 1067 km (mainland).
The climate on the Bermuda Islands is tropical/subtropical and warm
and humid (according to Köppen/Geiger the northernmost hot and humid
tropical forest climate). In January, temperatures as low as 5° C can
also occur. Hurricanes are common in September.
The subtropical
vegetation is characterized by rubber trees, sage species and the
endemic Bermuda juniper. Mangrove trees also grow on some parts of the
coast; the Bermuda mangrove forests are the northernmost in the
Atlantic.
The almost extinct Bermuda petrel has its breeding
grounds on the Bermuda Islands.
There are several national parks
in Bermuda, both above and below water.
The Frenchman Albert Gleizes was one of the painters who worked on the island in 1917.
The Bermuda Race, a 647-nautical-mile ocean regatta from Brenton Reef
near Newport (Rhode Island) to Hamilton, has been held since 1906, and
was expanded in 1964 to include the Onion Patch sailing regatta series.
In June 2017, the America's Cup was held in Bermuda. Rugby and cricket
are also popular due to history.
Cricket is the most popular
sport in Bermuda and is considered the national sport. Unlike most
British overseas territories in the West Indies, Bermuda does not
provide players for the West Indies Cricket Team and instead has its own
national team. The national cricket team took part in the 2007 Cricket
World Cup.
Special Olympics Bermuda has taken part in the Special
Olympics World Games several times.
54% of the population are of African descent, 31% are white (as of
2010). The black inhabitants are descendants of African slaves, the
whites often of British origin. 10% of the inhabitants are of Portuguese
origin, other studies indicate up to 25% mixed population. The influx
has taken place mainly in the last 200 years, often from geographically
close regions such as the Azores. The capital Hamilton has only around
1000 inhabitants. The official and colloquial language is British
English. Almost half of the population belongs to various Protestant
denominations (about a third of them Anglican), 15% are Catholic.
School attendance is compulsory from the age of 6 to 17. Many
families invest a large part of their money in school fees for their
children's expensive private school education. There are five private
schools and numerous public schools. All students wear school uniforms.
Bermuda College provides a higher education; Students go to the USA,
Canada or England to study at university.
Many Bermudians have
several jobs. It was only in 1961 that the black majority was allowed to
sit next to white people on the bus, in the cinema or in a restaurant.
However, public schools are still attended almost exclusively by
children and young people of African descent.
In 2020, life
expectancy at birth for the total population was 81.7 years (women: 84.9
years/men: 78.5 years). The median age of the population was 43.6 years
in 2020, and 1.91 children were born per woman in 2022. The population
growth rate was estimated at 0.39% for 2022.
In 2017, 30.9% of
the population was not born in Bermuda.
Bermuda is an overseas territory of the United Kingdom. The political
system is based on the Westminster system. The head of state is King
Charles III, who is represented by a governor appointed by him.
Bermuda has an elected House of Representatives and a Senate (11
members), whose members are appointed by the governor. The majority
leader in the House of Representatives is appointed Premier by the
governor and tasked with forming a government. This government (cabinet)
is made up of the Premier and the ministers. It is responsible to
parliament. The current Premier is E. David Burt (Progressive Labour
Party), who replaced Michael Dunkley in July 2017.
The territory
is largely autonomous, only a few areas - in particular foreign and
defense policy - are decided directly by the government in London.
Bermuda's Parliament, founded in 1620, is the fifth oldest in the world
and the only one that has existed continuously during this period.
A former imperial fortress colony once known as the "Gibraltar of the West" and "Fortress Bermuda", Bermuda was the main British naval and military base in the Western Hemisphere until the Cold War, and as part of the British sovereign state, the defence of Bermuda is the responsibility of the British government. Regular military personnel were withdrawn from the Bermuda Garrison in 1957, leaving only reservists, and the Royal Navy base, HMS Malabar, was closed in 1995 at the end of the Cold War. At the same time, the United States Navy and Royal Canadian Navy bases were closed. Bermuda currently maintains one armed unit, the Royal Bermuda Regiment, with a strength of approximately 420 men and women.
Since Bermuda is a tax haven with low tax rates, numerous credit
institutions and insurance companies have settled there. Bermuda is
considered the third largest center for reinsurance (for example Everest
Re Group, PartnerRe and Qatar Re) in competition with London and New
York. International corporations that have relocated their headquarters
there over the decades include the spirits manufacturer Bacardi and the
world's largest oil tanker shipping company, Frontline. In a ranking of
the most important financial centers in the world, Bermuda was ranked
36th (as of 2018). The gross domestic product per capita was around
85,700 US dollars in 2013, making it one of the highest in the world.
However, with the withdrawal of some companies from Bermuda and the
decline in foreign direct investment, the economy fell into a recession
that lasted several years. Bermuda's nominal gross domestic product,
calculated using a modified method, was approximately USD 7.14 billion
in 2017.
In the course of the discussion on measures against tax
havens at the G-20 summits, a massive exodus of international
corporations from Bermuda began in 2008. Within a few months by the
beginning of September 2009, nine of the twelve companies with the
highest sales in Bermuda alone - Accenture, ACE Limited, Cooper
Industries, Covidien, Foster Wheeler, Ingersoll Rand, Tyco Electronics,
Tyco International and Weatherford International - had relocated their
headquarters to other countries.
On January 28, 2016, the EU
Commission presented a package of measures to combat tax evasion, which
included Bermuda on the blacklist of tax havens.
Tourism is an
important economic sector. In 2016, the direct contribution of the
tourism sector to Bermuda's GDP was 4.5%; the total contribution, which
also takes into account the impact of tourism on other economic sectors,
was 13.9% of total economic output in the same year. Over 80% of
tourists come from the USA, but increasingly also from Western Europe.
Part of the state's revenue used to come from leasing an area around the
airport to the USA as a military base.
The subtropical climate
allows for intensive agriculture. The main crops are tropical fruits,
potatoes, vegetables, tobacco and flowers (especially lilies). Fishing
just covers the country's own needs. Apart from lime, which is used as a
building material, there are no natural resources. Small industrial
companies process fragrances and produce pharmaceutical and cosmetic
products.
The main exports are tropical fruits, vegetables,
flowers, plant extracts and cosmetic and pharmaceutical products. All
types of food, petroleum products and motor vehicles must be imported.
There are hardly any large cars in Bermuda; on the one hand, there is a
lack of routes, and on the other hand, they are extremely expensive due
to 100% taxation. Bermuda's currency is the Bermuda dollar (BMD), which
is converted at a ratio of 1:1 to the US dollar (USD). The US dollar is
also common and recognized as a means of payment in Bermuda. Bermuda can
issue its own bonds. Bermuda's government bonds are rated A+ by the
rating agency Standard & Poor's (as of 2022).
The residents of
Bermuda enjoy a high standard of living, but the cost of living is very
high. There is practically no unemployment. Over 80% of the state budget
is spent on social benefits and education. There is no value added tax,
but high customs duties. There is no income tax, only a payroll tax. It
is levied at different rates for both employees and employers and is
progressive. For employees, the tax rate is between 4% and 8.75%.
Employers pay between 0 and 10.25%, depending on the size and industry
of the company. Privately imported goods are taxed at 25% (except on the
first $100).
Bermuda's L.F. Wade International Airport is connected to the
American mainland and London by several scheduled flights. Charter
airlines connect the islands with Europe. On the islands themselves,
state buses run at frequent intervals. The large islands are connected
by dams and bridges. Hamilton is the home port of numerous cruise ships
and luxury yachts. The Bermuda Railway operated on the island from 1931
to 1948. Bermuda's power grid is similar to that of the USA. This
applies to both the voltage, 110 V, and the sockets and plugs of the end
devices.
Only one car is allowed per property on the islands.
Tourists can choose between bicycles, buses, taxis, horse-drawn
carriages and motor scooters (the national vehicle of the Bermuda
Islands) - there is no commercial car rental. A speed limit of 35
kilometers per hour applies throughout Bermuda for both cars and motor
scooters.
British traditions are maintained on the Bermuda Islands. This is
evident, for example, in numerous military parades, in the dress
uniforms, in the "Old England" setting of the towns and also in the
cuisine. Bermuda's national holiday is May 24th.
Bermuda shorts,
which take their name from the island, are part of everyday clothing
here. Even business people wear them with knee socks, a shirt and a tie.