Landmark new laws have been passed in Bermuda which modernise trust legislation and create a framework for modern fiduciary practice, providing a model for other jurisdictions to follow.

The Trustee Amendment Act 2025, which is now in effect, clarifies trustees’ ability to adopt responsible investing approaches, which consider not only financial returns but also reflect the settlor’s and beneficiaries’ wishes in relation to broader social, environmental and other impacts. Whilst trustees should consider material factors that affect financial performance under existing law, including environmental and social factors, this legislation adds certainty that trustees may also consider settlors’ and beneficiaries’ views or ethical stances on the broader impacts of the trust’s investments.

This development responds to the growing demand for responsible investment approaches, beyond purely financial motivators, driven by settlors and beneficiaries who wish their trusts to reflect both financial and non-financial priorities. The legislative model enables trust administration to be more strongly aligned with family legacy, succession planning and shared values. It also seeks to reduce trustee risk and enhance transparency, as well as facilitate responsible investing approaches that can support long-term value creation and sustainable development, contributing to global social and environmental solutions.

The reforms have been driven by Bermuda’s trust industry, led by Gina Pereira TEP of Dana Stewardship Advisory, in association with the Bermuda Business Development Agency, with the technical support of Harbottle & Lewis partner Chris Moorcroft TEP, and Edward Cumming KC and Niamh Davis of XXIV Old Buildings. The initiative is supported by the Society of Trust and Estate Practitioners (STEP).

The Trustee Amendment Act 2025 is part of a broader reform package in Bermuda and one of two industry-proposed reforms centred on responsible stewardship of wealth. Alongside it, Bermuda has passed the Benefit Entities Act 2025, which creates an opt-in framework for companies, LLCs and limited partnerships to embed responsible business practices and chosen public benefits in governance and decision-making. This is due to come into effect before the end of the year.

On the reforms, Harbottle & Lewis partner Chris Moorcroft said:

“It has been a privilege to support Bermuda’s trust industry, in particular Gina and the BDA, on implementing these groundbreaking reforms to trust law in Bermuda, which place Bermuda at the forefront of global trust law evolution. I congratulate Bermuda for its innovative approach and leadership.

The issues this legislation looks to address, however, are not unique to Bermuda. We therefore very much hope and expect to see other jurisdictions, encouraged and supported by STEP, follow the lead of Bermuda and look to enact similar reforms to enhance and modernise trust laws on a global scale, which will benefit trustees, beneficiaries, and the industry and society as a whole.”

Contact: Alex Molyneux, Communications & Marketing Manager: alex.molyneux@harbottle.com

Follow the links to find announcements from the Bermuda Business Development Agency, STEP and XXIV Old Buildings.

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Chris Moorcroft Partner

Chris is a private client adviser to individuals, families and trustees. He helps clients transfer wealth between generations, protect it from third parties, plan for death or incapacity, and manage complex cross-border tax and legal issues.

Chris is a private client adviser to individuals, families and trustees. He helps clients transfer wealth between generations, protect it from third parties, plan for death or incapacity, and manage complex cross-border tax and legal issues.

He has significant experience acting for trustees in international disputes and also conducts the administration of estates which are the subject of dispute. He advises on will planning and probate, particularly those which involve multiple jurisdictions, and acts as executor and administrator of estates.

He advises both international and domestic clients, with a particular focus on US-connected clients and those from LATAM and Africa. He has an interest in the ‘next gen’ of wealth owners and speaks extensively on the topic of transitioning wealth to millennials and Gen Z. He is globally recognised as a leading expert on trustees engaging in ESG, sustainable and values-aligned investing.

Chris has acted as an expert witness on English tax and legal questions in both UK and international disputes.