Senator Ian Gorst said that ensuring the Island is seen as a global player is all the more important with Brexit creating some uncertainty over the future of London – with which Jersey has very close business ties – as a financial services centre.
Last week the government announced its intention to sign a bilateral investment treaty with the United Arab Emirates, after receiving ‘entrustment’ to negotiate directly with the Middle Eastern country.
Senator Gorst said that if the City of London lost some of the financial-services sector it would have a knock-on effect for Jersey, making it even more important for the Island to look for partnerships around the world.
‘Slowly over time there could be a potential effect on us, which plays into why we’ve continued to look for more globally focused business for Jersey,’ he said.
‘We’ll be coming forward for some fiscal-stimulus bids for the £50 million to keep that globally focused business ongoing.
‘And we need to look for opportunities that are presented, arising out of being white-listed by the EU, as well as impact and sustainable investment areas as well.’
The fiscal-stimulus package, which will see cash injected into projects to boost the economy, was announced as part of the government’s ‘kickstart’ package to help businesses recover from the Covid-19 crisis.
So far, £10 million has been used to provide a loan to revitalise the Blue Islands airline, which has relocated from Guernsey to Jersey.
Commenting on Brexit, the minister said that the feeling in Westminister was that the UK and EU would reach a trade deal by the end of the year, albeit probably a limited ‘Canada-type’ agreement.
Senator Gorst said, however, that that type of ‘thinner’ deal could benefit Jersey.
‘Every minister and backbencher that I have spoken to thinks that there’ll be a deal and as we go further through, it’s much more likely that it’ll be thinner,’ he said.
‘The interesting thing from our perspective is if it’s a thin deal – just around goods, for example – that really would work well for us.
‘It would be more difficult if you had a broad and deep deal, like Theresa May’s, and had to navigate through it chapter by chapter.’
