Appleby has acted as offshore counsel to Santander in connection with the reorganisation of its private banking division in Jersey, successfully consolidating Santander’s Jersey businesses within the Jersey branch of Santander UK plc. The transaction used the Banking Business (Jersey) Law 1991 which allows a Jersey deposit-taking business to be transferred from one bank to another by means of a Court-sanctioned scheme.
The Court sanctioned the transfer of deposit-taking business with effect on 1st June 2015 from Abbey National International Limited to the Jersey branch of Santander UK plc at a hearing of the Royal Court of Jersey on 8th May 2015.
The Appleby team was led by Wendy Benjamin, Practice Group Head for the Corporate Department in Appleby’s Jersey office assisted by Tom Fothergill, Associate in the Corporate Department.
Wendy Benjamin commented: "This is the third time in the last two years that Appleby in Jersey has advised on the transfer of a banking business by way of a Court-sanctioned scheme. Schemes provide a flexible and cost-effective method to banking groups for business reorganisations with minimal disruption to clients. During a time of intense regulatory change, we anticipate further strategic reorganisations of banking groups, including offshore subsidiaries and branches, as banks assess capital requirements, operational efficiencies and ring-fencing requirements."