THERE is no government policy – and one is not likely to be introduced in the near future – on whether businesses can choose to be “cashless”, the Economic Development Minister has said.
Deputy Kirsten Morel was answering questions from the Economic and International Affairs Scrutiny Panel as part of an ongoing review into Islanders’ use of cash.
The panel is exploring how consumers choose to buy goods and services, and pay bills in Jersey.
Deputy Morel – who has previously expressed the belief that Islanders’ right to use cash should be enshrined in law – added that ministers needed a policy “to ensure that the government continues to produce cash and to make cash available to society”.
He explained to panel chair Deputy Montfort Tadier that there was currently only a policy “by default” because it was up to businesses to choose whether to go “cashless”.
Deputy Morel continued: “We need to have a real discussion with the business community and with Islanders about whether businesses should be obliged to accept cash or not.”
However, he acknowledged that there was “excessive regulation in Jersey that makes it difficult to do business” and that the idea of introducing further requirements at the moment was not ideal.
He further referred to the “significant and fast” decline in the amount of cash in circulation in the Island.
At the end of 2021, nearly £117 million in local currency was in circulation but by the end of 2023, that had fallen to £97 million.
He said the figure stood at £90 million so far this year.
Deputy Tadier has previously said that the objective of the review is to understand the interests of consumers and businesses, listen to concerns and experiences, and understand how payment methods are changing in an increasingly digital and contactless world.
As part of the review, which will culminate in a report and recommendations, hearings have also taken place with Digital Jersey, the Jersey Hospitality Association and the Jersey Consumer Council.
In March, States Members unanimously passed a proposition from Deputy Lucy Stephenson to reintroduce cash payments at Fort Regent, Springfield and Les Quennevais sports centres after the sites went cashless in 2019.
Politicians also voted to review current and future cashless policies at other sports departments and facilities.
