After the phenomenal success of 2017’s launches in Monaco and Dubai, the Enness team is excited to be expanding our offering further by opening an office in Jersey. At first glance, the rolling green hills and temperate weather of the largest Channel Island might tempt you in to thinking it’s a sleepy seaside location. But don’t be fooled; with a quarter of the population employed in financial services, what it lacks in size, it makes up for in its clout as an international finance centre.
We sat down with the team at Jersey Finance to find out more about what the island has to offer, and how it can benefit international investors.
What sets Jersey apart?
Jersey is one of the world’s leading international finance centres. Its forwardthinking approach, robust regulatory framework and political and economic stability have kept the jurisdiction at the forefront of global finance for more than 50 years. It has a unique constitutional position, as although its allegiance is to the British Crown, it is not a part of the UK and is not represented in the British Houses of Parliament. The island’s domestic autonomy has been preserved via charter and convention through 800 years of English history.
The industry’s primary focus is in the key sectors of banking, fund services, wealth management and capital markets, including the specialist sectors of Fintech, Islamic Finance and Philanthropy.
This comprehensive range of products and services, combined with a highly-skilled expert workforce and award-winning credentials, gives an unparalleled welcome to global investors. Jersey offers a tax-neutral environment, with no Capital Transfer Tax, Capital Gains Tax, Value Added Tax, Withholding Taxes or Wealth Taxes. This provides tax certainty and allows for fiscally efficient crossborder investment. Jersey’s tax model simply allows investors to work together more efficiently. They pay tax in their own countries, and in the country they invest in, without complex cross-border taxation issues and red tape. The authorities ensure they know exactly where all money in Jersey has come from, and exactly where it is going, working with the relevant regulatory bodies to ensure the tax due is being paid.
A focus on transparency
The thing that sets Jersey apart from other international finance centres is its strong regulatory framework designed to bring clarity and transparency to the world of finance. Jersey remains one of the best regulated centres, a position that has been acknowledged by independent assessments from some of the world’s leading bodies including the OECD, World Bank and IMF. In 2016, Jersey was subject to a Mutual Evaluation by MONEYVAL and was found to be “Compliant” or “Largely
Compliant” with 48 out of 49 of the FATF Recommendations, the highest score amongst all states assessed.
The island has signed up to numerous cooperation and information sharing mechanisms, including the Base Erosion Profit Shifting (BEPS) project and the Common Reporting Standards (CRS), and has a central register of beneficial ownership that meets international standards, to help share information with tax authorities around the world.
The Jersey authorities have also signed 52 international tax agreements (39 TIEAs and 13 DTAs) to date, which assist in building good quality business with those countries and are also a reflection of Jersey’s commitment to comply with international standards.
Focused on success
In the final quarter of 2017, the total net asset value of regulated funds being serviced through Jersey rose by 10% and by 12% year-on-year to stand at £291.1 billion, the highest value ever recorded. The total value of banking deposits held in Jersey increased to £118bn during the same period, with the number of banking licences increasing to 28.