With hundreds of families facing an anxious Christmas over the end of a tax clause allowing Channel Islands firm to export some goods to the UK VAT-free, the governments of Jersey and Guernsey have taken a stand.

After Chief Minister Ian Gorst and Senator Sir Philip Bailhache, the Assistant Minister with responsibility for foreign affairs, flew to London for fruitless last-ditch talks last week, a legal challenge to the UK government’s move has been announced.

Economic Development Minister Alan Maclean said that twin legal challenges from Jersey and Guernsey would be made and that he has written to the UK Treasury to inform them of the move.