In a special report produced following last month’s historic vote, the Fiscal Policy Panel, who advise the States, said that the Island’s economy could be harmed by the uncertainty and potential loss of access to EU markets in the coming years.
They also said that the UK’s financial services industry would be one of the sectors most likely to suffer following Brexit as foreign investment may decline, and that this could affect the sector in Jersey.
The report warns that all the cash in Jersey’s Stabilisation Fund – £140 million set aside in case of an economic downturn – was spent after the global financial crisis and that other cash reserves would need to be used and Treasury Minister Alan Maclean said that if the Stabilisation Fund was to be replenished, it would probably need to be from the Strategic Reserve, which is commonly known as the Rainy Day Fund.
