Jersey: Back To The Future

Last Updated: 17 September 2018
Article by Geoff Cook

With this week marking the 10th anniversary of the collapse of Lehman Brothers, a fair amount of column inches has been given over to looking back to what went wrong and how the 'lost decade' unfolded.

It's true that learning from past mistakes can be helpful in informing future decisions, but rather than wallowing in the misery of the past ten years, I'd like to advocate that this anniversary should serve as an opportunity to look forward.

If there's one thing that has emerged as a vital take-away from the financial crisis, it is that careful analysis of your environment and prudent forward-planning is absolutely essential. There's no doubt that we'll see further disruption in the coming years, whether economic, social or political, and taking a strategic view (and sticking to it) will be vital for organisations and the IFCs that house them.

Realising this is one reason why Jersey has emerged so strongly from the crisis. Shortly after it hit, Jersey's government, regulator and industry took the brave and joint decision to invest considerably in a strategic review that we felt would serve us well in the long-run.

The output from that significant piece of work, undertaken during 2013, outlined four key priorities – to protect existing business, to emphasise our key strengths, to capture opportunities in growing areas, and to explore new opportunities in less familiar territories.

From an industry perspective, following the recommendations made in that review - which spanned a whole range of areas including regulation, legislation, infrastructure, skills, reputation and overseas markets - has been absolutely pivotal in shaping the direction of our industry. Whilst other centres were panicking, having the foresight to undertake this piece of work really did differentiate Jersey.

Yes, Jersey has been impacted by consolidation and restructuring in the banking sector globally, the result of the low interest rate environment and the regulatory and stability measures to come out of the crisis, but Jersey's banking sector has remained markedly resilient.

Whilst overall deposit levels have reduced, this was mainly due to less interbank activity with customer deposits holding up incredibly well. Jersey continues to house the headquarters of a number of international banks and is home to banking organisations from the UK, Europe, North America, the Caribbean, Africa, India and the GCC. That's not something you see in many IFCs.

Meanwhile, we have deliberately placed a focus on mitigating the impact of reduced roles in banking by helping people to re-skill and move into growth areas - funds, trust and company work.

That foresight has served us well - funds levels today are as high as they've ever been and 50% higher than they were in 2008, whilst alternative funds now represent more than three-quarters of our total funds business, with private equity activity growing by almost a third over 2017.

Our trust and company sectors continue to perform strongly too, growing collectively by 9% last year, with our trust sector being the envy of jurisdictions the world over, holding in excess of £400bn of private assets. 

We've also deliberately focused our efforts on growth markets, particularly the Middle East, China and Africa, whilst we're also stepping up our focus on the US – all whilst maintaining our core market in the UK and Europe. That focus has really diversified our industry.

Today, the picture for Jersey is actually very positive – our figures are very good and firms here are bullish about future activity – more than 700 jobs are expected to be created over the coming four years.

Looking Forward

So what now? Perhaps one of the key things to emerge from the past ten years is the narrative of austerity. Over the past ten years, national governments have reacted by making swathing cuts to services and expenditure to protect national reserves and manage debt. 

That in turn has led governments to look for other sources of income, including trying to claw back money through tax leakage. That has meant a lot of finger pointing at IFCs and the (unfounded) assertion that there is a magical pot of money in IFCs that can be recouped.

That is the new narrative we are living in now. It's a pleasing narrative for the electorate, a convenient one for governments, and one of the most unfortunate legacies of the financial crisis - because it is simply not true.

Which brings me back to my starting point. Although we are in a good place now, we cannot afford to rest on our laurels. Forward-thinking is as important as it has ever been if we are to negotiate this new landscape.

It's why we have launched, since our initial strategic review, a refreshed review that takes into account the rise of digital technologies and Brexit in particular; a Future of Banking report that sets out specific recommendations to ensure the backbone of our industry remains strong; and a suite of thought leadership reports that explore our place in the modern world. No other centre is doing this, but we're doing it because we believe fundamentally that our role is a positive one.

Looking back at the financial crisis for what it was is one thing, but preparing for the legacy it has created is something quite different. Jersey is ready for it.

Linkedin -
Twitter - @jerseyfinance
Youtube -

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

In association with
Related Topics
Related Articles
Up-coming Events Search
Font Size:
Mondaq on Twitter
Mondaq Free Registration
Gain access to Mondaq global archive of over 375,000 articles covering 200 countries with a personalised News Alert and automatic login on this device.
Mondaq News Alert (some suggested topics and region)
Select Topics
Registration (please scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions