Statement from Geoff Cook, Chief Executive of Jersey Finance Limited in response to the announcement of a UK Government review of the British Crown Dependencies.
“This review provides us with an opportunity to again demonstrate the high standards of regulation that are in place in Jersey, together with the actions we have taken to support the drive for greater transparency in global financial services. Our standards of compliance and governance are world class and we have the facts to support this.
The Home Office last conducted a review of the British Crown Dependencies ten years ago, and the report then, which listed a number of recommendations which have subsequently been implemented, was nevertheless a favourable one which described Jersey as being in the top division of offshore centres. In fact the Home Office Review proved to be a helpful report in endorsing Jersey’s strengths in the areas of regulation and supervision in the years following its publication.
Since then, the Island’s Finance Industry has continued to grow successfully, whilst at the same time earning third party endorsement for its standards from a variety of important global bodies including the IMF, the Financial Action Task Force and the OECD.
Only recently HM Treasury publicly listed Jersey as a country it considers has regulation and systems to combat money laundering and terrorism financing which were equivalent to EU standards and acknowledged that Jersey and the other Crown Dependencies were fully compliant with international standards.
Jersey is active in the OECD tax harmonisation programme and is ahead of most other jurisdictions in signing tax information exchange agreements, which are seen by the OECD as effective in fighting international tax fraud and evasion. Jersey has already signed ten with more planned and the Island’s willingness to engage in this process was recognised by the OECD only last month at a conference in Paris.
So whilst we cannot be complacent, the Industry believes that with the robust regulatory and supervisory standards we have in place today, we can participate in this review with considerable confidence.”
Further information :
Jersey Finance Limited
Telephone: +44 (0) 1534 836000
Telephone: +44 (0) 1534 618613
E mail firstname.lastname@example.org
Notes to editors
In 1998 the Home Office commissioned Andrew Edwards, a former HM Treasury Official, to conduct a review of the laws, systems and practices of the Crown Dependencies, including Jersey. The Edwards Report described Jersey as being in the top division of Offshore Centres with a clear commitment to defeating money laundering. Jersey Finance was formed as a separate body from the Jersey Financial Services Commission as result of this review in order to promote the Island’s finance sector.
Third party statements
· The Foreign and Commonwealth office in its report ‘Managing Risk in the Overseas Territories’ published last year, acknowledged that the British Crown Dependencies, which include Jersey, had introduced measures which meant they had reached the status of ‘zero non compliance’ with international standards. (Managing risk in the overseas territories: Foreign and Commonwealth Office No 0004 2007–08 16 November 2007. http://www.nao.org.uk/publications/nao_reports/07-08/07084.pdf)
· The most recent review of regulatory standards in Jersey concluded that the Island’s ability to comply with global standards was high. (IMF Country Report No. 03/369 November 2003. http://www.imf.org/external/pubs/ft/scr/2003/cr03368.pdf)
· The British Crown Dependencies including Jersey are described by the IMF as 100% compliant or largely compliant in their supervisory capabilities for anti money laundering regulations, 97% compliant in banking, 96% observed or largely observed in insurance and 89% implemented and broadly implemented in securities business, consistently ahead of the progress of other similar jurisdictions overseas.