THE government has said it is unable to provide a clear estimate of how much tax is being raised from the Island’s medicinal cannabis industry.
Responding to a written question from Deputy Karen Wilson, Economic Development Minister Kirsten Morel said that no breakdown of the nascent sector’s contribution in terms of Gross Value Added, employment or tax receipts could be given.
Deputy Morel wrote: “Tax information cannot be provided where the number of taxpayers is fewer than 12 to avoid inadvertent breaches of taxpayer confidentiality.”
The only figures provided in the Minister’s response related to licence fees, which revealed that nearly £15,000 is expected to be raised through cultivation licence renewals this year.
Meanwhile, revenue from export licences has already reached £8,150 in the first half of this year – almost matching the £8,700 collected in the whole of 2024 – with the government reporting a “noticeable increase” in exports of medicinal cannabis.
According to Sarah Clover, chair of the Jersey Biopharmaceutical Council, more than £100 million has already been invested into the cannabis sector in Jersey since 2018, with around 50 full-time jobs created.
Ms Clover added that the sector was beginning to show the long-term benefits that had originally been predicted – not just in economic terms, but also in reputation and skills development.
The Island’s largest producer, Northern Leaf, meanwhile, has ramped up production in recent months and now expects to hit record revenues.
Its chief executive Steven Tan said the company had gone from producing at 25% capacity to 75% in less than a year as demand for medicinal cannabis in Europe grows.
“We haven’t had a chance to submit to the government any estimated revenue or other financial and employment details,” the chief executive said.
“We are on track to triple exports in terms of production this year, which is shown by the upswing in export licences.”
The government has also said it is considering setting up an independent medicines regulator, in a move designed to strengthen oversight of its emerging pharmaceutical and medical cannabis industries.
However, Health Minister Tom Binet confirmed last month that any policy work was unlikely to begin before October.
Until then, the sector continues to be regulated by the Medicines and Healthcare products Regulatory Agency in the UK and Jersey’s chief pharmacist.
