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JUNE 2014 ISSUE 27 JERSEY S BUSINESS MAGAZINE BUILDING COSTS Are planning fees in Jersey squeezing economic recovery VIEW ONLINE AT BAILIWICKEXPRESS.COM FROM THEATRELAND TO FARM LAND The next generation takes on a Jersey business PLEASE TAKE ONE Going for Growth The new Chair of the IoD on why Jersey s economy needs to get bigger READ THE FULL INTERVIEW ON PAGE 40 London City Airport Get closer Arrive closer to where you need to be with up to 14 DLR trains per hour you re just minutes from Canary Wharf the City and beyond. DLR Tube O2 Arena 10 mins Canary Wharf 12 mins The Shard 19 mins Bank 22 mins 5 miles 49 No hidden charges From Waterloo 23 mins Westminster 25 mins 10 miles Terms and conditions apply. AN AWARD-WINNING G LO B A L L E A D E R IN TRUST AND FIDUCIARY SERVICES Best Trust Services Jersey and the UK Euromoney Private Banking and Wealth Management Survey 2014 Best Inheritance and Succession Planning Jersey Euromoney Private Banking and Wealth Management Survey 2014 Best Offshore Services Jersey Euromoney Private Banking and Wealth Management Survey 2014 Top 25 Most Admired Companies eprivateclient 2014 Best Trust Company WealthBriefing Awards 2013 Institutional Trust Company of the Year Citywealth Magic Circle Awards 2013 Top 25 Trust Companies Private Client Practitioner 2013 To learn more please contact 44 (0) 20 7029 7580 or trustinfo Visit us online at There s Wealth in Our Approach.TM BAHAMAS BARBADOS CAYMAN DELAWARE GENEVA GUERNSEY HONG KONG JERSEY LONDON SINGAPORE The value of investments may fall as well as rise. You may not get back the full amount that you originally invested. TM Trademark(s) of Royal Bank of Canada. Used under licence. Above mentioned services are offered through Royal Bank of Canada or its affiliates. This advertisement does not constitute an offer of products or services to any person in any jurisdiction to whom it is unlawful for RBC Wealth Management to make such an offer. RBC Trust Company (International) Limited is regulated by the Jersey Financial Services Commission in the conduct of fund services and trust company business. The Private Client Fiduciary Services Terms and Conditions are updated from time to time and can be found at terms-and-conditions-British-Isles.html. Registered Office La Motte Chambers St Helier Jersey Channel Islands JE1 1PB. CA Feb 15 1296 WELCOME FURTHER INFORMATION PUBLISHERS If you would like to appear in Connect have a story to tell or simply want to receive a copy then please get in touch with the publishers Received wisdom goes something like this Jersey is an innovative place which has so far re-invented its economy to encompass ship building cod fishing knitting agriculture tourism and finance...with digital waiting confidently in the wings ready to stride onto to the stage to play a lead role. So far so heard it many times in any speech which is attempting to position Jersey as a place which copes with whatever can be thrown at it. I don t have a problem with the principle at all in fact I think Jersey is exactly that sort of place (look at the resilience Islanders showed through the Occupation). In fact I don t even have a problem that the above list of the Island s industry-swapping history misses out my favourite privateering as I have to admit to a family connection there. My problem is this. Firstly it makes regenerating the economy just sound so incredibly easy you know get up eat breakfast create a new sector of the economy and then take the kids to the beach for tea. The reality is that the best ideas always sound nuts at first and for the people driving the change getting everyone else to support a new idea is exceptionally hard as the easiest path is always that of doing nothing. And so in this edition I point you to our Sliding Doors feature which profiles the Le Brun family that has a new generation giving up showbiz careers to take over the family farm and moving it to solar power in the process. You ll find their story on page 44. Next I think the usual list of Jersey s economic innovation might kid you into thinking our business environment stimulates those who are agile who think differently who want to rip up the established way of doing things and create something new. They are called entrepreneurs by the way - which is a very different word from simply self-employed . You can certainly find those people in Jersey. But do we have a business culture which is fertile for them Please read the feature on planning fees on page 14 before answering that question. Finally the above history of always pulling something out of the bag I call it the pluck-it list suggests that change is common in Jersey. That you only have to open the front door and a refreshing change nips in to energise your day. Er no. Sorry but we don t score highly on this one. Change is a rather more glacial in this neck of the woods. And so when it happens we need to catch it study it and try and work out how to do it again. Which is why we wanted to include two particular features in this edition on page 40 you can meet Wendy Dorman the first female Chair of the Jersey branch of the IoD and on page 62 Christian May gets political with his new website I hope all their stories make you think freshly about what it actually means to innovate in Jersey. JUNE S ISSUE Bailiwick Publishing (LCI) Fox Building Second Floor Suite La Rue des Pres St. Saviour JE1 3UP Telephone 01534 887740 CONNECT ONLINE For all the latest news and classifieds straight to your inbox visit and subscribe to our daily news service. EDITOR James Filleul Email editor WRITERS Ben Qu r e Email ben Gwyn Garfield Bennett Email gwyn Paula Thelwell Email paula ADVERTISING Lisa Barnes Telephone 01534 510309 Email lisa SUBSCRIPTIONS Email subscriptions DESIGN AND PRODUCTION Mark Jackson Email studio Artwork under 10Mb in size may be sent to this address. This magazine can also be read online at Copyright Bailiwick Publishing LCI. All rights reserved. Reproduction in whole or in part without written permission is strictly prohibited. Views expressed by our contributors are their own. Editorial opinions expressed in this magazine are not necessarily those of Bailiwick Publishing. Bailiwick Publishing does not accept responsibility for the advertising content. While every effort is made to achieve total accuracy Bailiwick Publishing cannot be held responsible for any errors or omissions. James Filleul Editor Please recycle this magazine. Like Bailiwick Express on Facebook Follow us on twitter connectjersey JUNE CONNECT 01 ON THE COVER UNPLUGGED Wendy Dorman . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 REGULARS LOCAL NEWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 04 APPOINTMENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 NEXT QUESTION Luke Smith . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 TECHNOLOGY Julian Box . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 SLIDING DOORS Peter & Catherine Le Brun . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38 WHO S THE FOOL ................................... 50 NO ORDINARY DAY JOB Bob Russell & James Couillard . . . . . . . . . . . . . . . . . . . . . . . . . 44 iSPY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49 GLASS HALF FULL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 HERE S THE THING... ................................ 52 MY SECRET LIFE Christian May . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 Musings of a Marketer Sam Watts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58 DEADLY DIARY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59 THE ADVISER Olaf Blakeley . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60 62 58 44 SPECIAL REPORT You ve probably heard someone say they judge economic activity by the number of construction cranes they can see working. It s one of the more imprecise measures of the effect building work has on the economy but the point is clear if we are spending money on development then there must be both confidence and jobs. Ben Qu r e reports. . . . . . . . . . 14 FEATURES CSR Skipton International . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 PROPERTY INVESTMENT Select Property . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 PENSIONS GoldMoney . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 BANKING Santander . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 02 CONNECT JUNE 16 CONTENTS 40 04 CONTENTS JUNE 2014. ISSUE 27. 20 15 44 WANT THE LATEST BUSINESS NEWS TO COME TO YOU Scan the QR code and click to send us your email address. JUNE CONNECT 03 NEWS Want this magazine delivered to your home or office Email subscriptions Jersey is in the black - just Jersey s accounts for 2013 show a small surplus of 500 000 in its day-to-day finances. Income was 9.3m lower than forecast for 2013 mainly due to weaker returns from Stamp Duty. The total income stood at 636.7m in 2013 compared to expenditure of 636.2m with departments underspending their allocated budgets by 23m. state. Underspends achieved by a number of departments mean that we have finished the year with a small operating surplus. I am particularly pleased with the performance of our Common Investment Fund. This means that our funding strategy for the new hospital is working. Our planning assumption was for a 5% return ( 33 million) and we have achieved 92 million in 2013. Economically 2013 continued to be a difficult year for the global economy and therefore for Jersey. However we were able to support the local economy last year by delivering 43m of capital expenditure in important areas such as housing infrastructure health and education. As the global and UK economies continue to show signs of improvement this year we plan to continue to this support by ensuring that the increase in business confidence seen in Jersey translates into real economic improvements across the whole economy. Andy Cook to leave Jersey Business The Chief Executive of Jersey Business Andy Cook has decided to step down this summer. Mr Cook joined the States-funded organisation which provides support to Island businesses in September 2012 as its first Chief Executive. Chairman Peter Funk said Andy has taken the Company from scratch and built it into a well staffed organisation providing advisory and other services to over 1 000 clients and partners in 2013. He has established excellent relations with Government and the business community. The Board of Directors our staff and stakeholders would like to sincerely thank him for his hard work and considerable achievements. He said the board would be working with the Appointments Commission to recruit a replacement to build on the very strong foundations Mr Cook had put in place. Jersey Business provides essential advice and support to both new and existing companies and we will be recruiting a new Chief Executive who can take the lead in that important work as well as continuing to develop our relationships with important partners both in Government and the business community he said. However the accounts show that the States have net assets of 5.6bn including property investments and other assets such as shareholdings in the utilities. They also record a very strong investment performance with two key funds - the Strategic Reserve and the Social Security (Reserve) Fund increasing by a combined 288m For comparison in 2012 the States surplus in its day-to-day finances was 27.1m with income at 628m and expenditure at 601m. Treasury and Resources Minister Senator Philip Ozouf commented The States of Jersey finances remain in a healthy 04 CONNECT JUNE CalligoCloud is now available in Jersey Guernsey Isle of Man Cayman Islands and Bermuda. To hear how the latest developments in Cloud services can deliver specific business benefits to offshore jurisdictions please attend our free Spring Cloud Briefing. Register your place online jersey The Grand Hotel St Helier Thursday 26th June 12.00pm - 2.00pm CalligoCloud is the most technically advanced and secure offshore cloud in the world Guaranteed Data Residency Pan-Island Infrastructure 100% Data Encryption Desktop as a Service ISO Accredited Software as a Service calligocloud info NEWS For news stories every day visit to sign up to our daily email news service Jersey Post appoints a new boss Jersey Post has announced the appointment of Tim Brown as its new Chief Executive. Mr Brown will take over from Kevin Keen who will be stepping down at the end of July following three years in the role. Mr Brown has held a wide range of senior roles in the postal and logistics industry over the last twenty years and since 2011 has been a non-executive director of Jersey Post and its Deputy Chairman since 2013. He is also a Chartered Public Finance Accountant and Fellow of the Chartered Institute of Logistics and Transport. Mike Liston Chairman of Jersey Post said Kevin Keen has fully delivered the business turnaround task he was set by the Board when he joined Jersey Post as it faced the loss of the Island s Fulfilment industry upon withdrawal of LVCR in the UK. With its radical restructuring now complete and the business profitable despite the loss of half its annual revenues caused by the LVCR demise the company is in a strong position to exploit the opportunities for growth which Tim Brown s diverse experience of the industry will facilitate. Tim Brown said I am very much looking forward to what is a great opportunity. The business has come a long way over the last few years thanks to Kevin and the team at Jersey Post. The challenge for the future is to build on the recent success to offset the continued decline in the traditional letter volumes affecting all postal operators. I believe my experience of the wider logistics and postal industry will bring benefits to the company and help it meet these future challenges. Kevin Keen added I have really enjoyed my three years and am immensely proud of what we have achieved given the substantial challenges we faced. I would like to pay tribute to the staff and Board of the company who have given me so much support in what was always intended to be a temporary role. Cash boost to tackle youth unemployment Employers can now cash-in when they hire young local jobseekers as part of a major new incentive which could see more than a hundred Islanders finding work. Anyone who takes on a local 16- to 24 year-old - who has been looking for work for at least six months - will get their new recruit s salary paid for the first six months provided they employ them in a permanent role. 650 000 has been set aside by Back to Work for the Youth Incentive. Social Security Minister Francis Le Gresley said Young people are often untapped talent who are keen to work and just need a chance. Many have been through training courses and work experience programmes and are eager to work to their full potential yet employers will often choose someone with more experience. I hope that this incentive will help give young people that first step into sustainable employment. As well as 6 500 for each new employee bosses will get help to find the right person for the job and six months support from a Back to Work mentor to make sure the new recruit settles in well. 06 CONNECT JUNE Promotional Feature SEMINAR The Industrial Precious Metals Jersey residents and finance professionals were recently given a rare insight into the markets of platinum and palladium by global commodities expert Leon Westgate from Standard Bank London who was invited to the island by Jersey company GoldMoney. The online precious metals trader organised the lunchtime seminar to give potential investors and their intermediaries insight into what is driving the markets. Supply is very regional said Leon Westgate Russia dominates global palladium supplies and the Ukraine situation is causing some concern there. Meanwhile South Africa dominates platinum mining and with the mine strikes we have already lost around 7% of the global annual output. The interesting fact is that prices have not moved much despite these supply concerns and that tallies with our conclusions that there was more above ground stocks than had been estimated. However we expect both markets to remain tight and in particular palladium prices could rise in the next two years. Guests heard how the two metals are traded differently to gold as they are seen as semi-industrial. Palladium in particular is used in the auto-catalyst industry which uses around 65% of stocks and jewellery demand is still relatively small. Platinum however although also used in industry has a larger percentage going to jewellery around 30%. We expect the demand from China for platinum in jewellery to increase and this will mean the platinum market will start behaving more like gold. In answer to a question from the audience with regard to a precious metals portfolio Leon Westgate said Including some silver platinum and palladium is a way of getting industrial exposure without having to get your hands dirty with industrial metals. Gold Silver Platinum and Palladium can all be bought online through GoldMoney. The Jersey based company has 22 000 customers worldwide and manages 1.4billion of precious metals in its partner storage vaults in five different countries. All the investment grade physical metals are regularly audited and fully allocated to customer holdings. For more information contact E martyn.white T 01534 633900 We expect both markets to remain tight and in particular palladium prices could rise in the next two years. NEWS Follow us on Twitter bailiwickxpress Co-op profits up in tough retail climate The Channel Islands Co-operative Society has reported a solid trading year last year with profits slightly higher than 2012. Turnover for 2013 was 160.4 million a 0.49% increase over the previous year with food stores up 0.26%. This means that a dividend of 8.07 million will be shared by members in both Bailiwicks. Chief Executive Colin Macleod said that 2013 had been another difficult year for retail in the islands. Although there were green shoots of recovery towards the latter part of the year factors such as high unemployment in Jersey particularly meant consumer attitudes towards spending remained very cautious. If you combine that with the very competitive retail landscape that continued to develop over the last few years it is not an understatement to say that it has been another challenging environment for the society to operate in he said. Mr Macleod said that despite these conditions the society was happy with its performance. We ve worked very hard for every customer and every purchase as well as ensuring strategic plans are executed accurately and with careful consideration. We feel despite the conditions we faced the society has achieved that. This pleasing performance is down to some very hard work from our board senior management and colleagues throughout the business he said. both the 400m and 400m hurdles and hope to make the step up to the main Island Games in Jersey next year. This considerable support from RBC Wealth Management will mean a huge amount to me and my family in reaching that goal. Miss Duquemin is the under-20 and under-23 British Champion and is ranked No 1 in discus in the UK for both categories. She is also a double Island Games champion and discus record holder. Stuart Rutledge CEO British Isles and Caribbean RBC Wealth Management said We are very pleased to be supporting the aims of SportsAid which has such an excellent track record in fostering the best of British sporting talent. It will be thrilling to follow the progress of these budding local athletes. Minister proposes Jersey Aircraft Registry The Minister for Economic Development is asking the States to establish the Jersey Aircraft Registry as a new source of income for the Island. Assistant Minister for Economic Development James Baker said As a stable highly-respected international finance centre with world-class legal and fiduciary expertise Jersey would be a very attractive base for an aircraft registry. Reports have shown that there is a great deal of potential income to be generated in this area. With our established culture of exceptional client service and professionalism Jersey could expect to establish a high-quality client base through its aircraft registry. If approved the Jersey Aircraft Registry (JAR) would allow for the registration of private and corporate high-value aircraft aircraft engines and aircraft mortgages. It would also offer clients the option of registering commercial aircraft engine mortgages. A nationality registration prefix ZJ- has also been secured for the Island RBC Wealth Management funds Island sport Two young Jersey athletes have received funding to help them develop their full potential and achieve their sporting ambitions. Discus champion Shadine Duquemin and hurdler Stanley Livingston have each been given 1 000 SportsAid Award from RBC Wealth Management. This is part of a broader sponsorship that includes 21 athletes from the UK and Jersey all aged between 11 and 19 and specialising in sports including athletics boxing cycling skiing swimming and tennis. Mr Livingston said I have competed in the junior Island Games in 08 CONNECT JUNE Investment Outcome Making New Friends Bahamas N26 3 41 W77 20 59 Where will your investments take you Your world isn t confined to a single set of geographic coordinates. Neither should your investments be. We search the globe to find outstanding investment ideas wherever they happen to be. Contact us to learn about the wealth management services we offer. 44 (0)1534 708090 Investments can fall in value and you might get back less than you invested. To us there are no foreign markets.TM Canaccord Genuity Wealth Management is a trading name of Canaccord Genuity Wealth (International) Limited ( CGWI ) which is licensed and regulated by the Guernsey Financial Services Commission the Isle of Man Financial Supervision Commission and the Jersey Financial Services Commission and is a member of the London Stock Exchange and the Channel Islands Securities Exchange. CGWI is registered in Guernsey no. 22761 and is a wholly owned subsidiary of Canaccord Genuity Group Inc. Registered office 2 Grange Place The Grange St. Peter Port Guernsey GY1 2QA. NEWS Like us on Facebook - Bailiwick Express NEWS RE.VIEW Durrell celebrates Ruby Anniversary with supporter Durrell Wildlife Conservation Trust is celebrating its 40-year corporate partnership with ABN AMRO Bank. Throughout the year the bank will be sponsoring a number of initiatives while teams of staff will also be undertaking important volunteer work at the park in Trinity. To launch the initiative ABN AMRO has paid for two students Ricko Laino Jaya from Sumatra in Indonesia and Vidrige Kandza from the Republic of Congo to take part in the three-month long Durrell Endangered Species Management Graduate Certificate programme held at the Trust s headquarters over the spring. A will fit for the 21st century Wills specialists at Collas Crill are recommending that Islanders leave a digital legacy after their death. The warning comes after the UK Law Society highlighted the need to make sure wills are fit for the 21st Century. A digital legacy will include clear instructions about what should happen to your social media computer games and other online accounts. Not making your wishes clear could mean important or sentimental material - such as photographs on social networks - is never recovered. Digital assets can also include music films email accounts and computer game characters. Four years running on the Citywealth leaders list Nerine Group of Fiduciaries has been recognised for the fourth year running in the annual Citywealth leaders list. Two senior staff Executive Chairman Keith Corbin and senior trust manager Jacqueline Hunter have both been named as leaders in the 2014 list. The list is compiled following extensive research with noted professionals across the private wealth management sector globally. Mr Corbin is well known in the private client world having worked in the sector for more than 35 years.bMs Hunter is STEP accredited and a member of the Chartered Institute for Securities and Investments (CSI). Since the beginning of her career in finance in 1986 she has worked for such well known institutions as American Express and Rabobank. Mr Corbin said Nerine s professionals have featured in four out of nine of the Citywealth leaders lists over the years. Being named by private client professionals around the world demonstrates our expertise and more importantly our focus on our clients and our experience in developing a raft of solutions and structures that appeal across the globe. We re proud of our teams and delighted to receive such a ringing endorsement of our approach. C M Y CM MY CY CMY K JT goes Stateside Channel Islands mobile services provider JT has extended its global reach to launch a domestic 4G mobile service in the United States. Thanks to a strategic partnership with a major global mobile operator JT is introducing a mobile virtual network operator service offering domestic rates. The JT 4G SIM cards are available at JT retail outlets and other local distributors for Islanders to purchase prior to travel. As well as benefitting from domestic rates while travelling in the US the US has been added into JT s latest roaming data products so offering customers data from just 10p per MB while travelling within the most popular destinations including UK France and the USA. 10 CONNECT JUNE Lucas Brothers come to town Lucas Brothers of La Haule Farm in St Brelade has opened a shop at Liberty Wharf. The farm shop at the bottom of Mont au Roux on the outskirts of St Aubin s Village is operating as normal and customers will still be able to order deliveries online from the Lucas Brothers and Flowerbox websites. The Liberty Wharf Flowerbox shop offers a selection of seasonal flowers for all occasions as well as a selection of cards candles hampers plants fruit chutneys and herbs and more. A HIGH YIELDING BUY-TO-LET OPPORTUNITY IN THE UK. 35% NET rental income assured over 5 years in the UK s strongest asset class. Take advantage of the UK s thriving student property market today. Luxury city centre apartments fully furnished and self-contained starting from under 70K. Completely fully-managed - a hassle-free investment. Portfolio of properties available across the UK. Tenanted property and immediate returns available. VISIT OUR SHOW PROPERTIES IN SOUTHAMPTON EXETER BRISTOL AND LONDON Get in touch today Tel 44 (0) 207 123 4000 Email info This advertisement concerns a property investment opportunity and is not intended to promote any recognised investment business under any known act or regulated order in either Jersey or Guernsey. Neither Vita Student nor Select Property are regulated by either the Jersey Financial Services Commission or the Guernsey Financial Services Commission and the contents of this mail have not been verified or approved. Recipients are asked to carefully consider whether the opportunity represents a suitable investment for them. Minimum 35% assured rental return over 5 years is based on a minimum annual rental return of 7% for the first five years following completion of the property. APPOINTMENTS Find the latest jobs online at New consultancy service at CBRE CBRE has appointed Old Victorian Iain McInnes as associate director to head up a new building consultancy services department in Jersey. After attending Victoria College Mr McInnes studies at the University of Salford. He qualified as a Chartered Building Surveyor in 1986 and worked in London before returning to the island in 1999. Mr McInnes has held senior positions in both private practice and client-side organisations including RBS Group and the Duke of Westminster s Grosvenor Estate. He is experienced in all core aspects of Building Surveying including dilapidations building surveys building defects planned maintenance building refurbishment contract administration and project monitoring. The Managing Director of CBRE Jersey Jon Carter said I am delighted with Iain s appointment and this adds a great service to offer our clients throughout the Channel Islands . Equiom Group appoints tax director Isle of Man taxation. Group Managing Director Sheila Dean said I welcome Kevin to the Equiom Group Board and Solutions team. He brings with him a wealth of experience and reinforces Equiom s commitment to providing the highest quality service to our clients. Mr Renshaw specialises in the establishment and maintenance of international tax structures and has extensive experience in property structures non domiciliary planning tax efficient investment into UK assets and treaty planning. He said It is exciting to be joining such a dynamic and progressive company that is actively expanding its international footprint whilst having in-house technical VAT and tax expertise that can service the needs of the local market. I look forward to working with the team and supporting them in growing the business. International trust and corporate services provider Equiom has appointed Kevin Renshaw as tax director. Previously a board member for a Isle of Man fiduciary services provider he joins the recently established Equiom Solutions direct tax team. The team provides tax and estate planning services to Isle of Man residents. He brings over 15 years experience advising high net worth individuals and companies on all aspects of Fiona St Clair-Bolam Crestbridge appoints new head of HR Crestbridge in Jersey has appointed Fiona St Clair-Bolam as its new Head of Human Resources. Mrs St Clair-Bolam is responsible for recruiting the expertise required by the business across its funds real estate corporate capital markets and family office service areas. Prior to joining Crestbridge she held a senior human resources role at Appleby where she was responsible for offices in a number of jurisdictions including the Channel Islands London and Zurich. She also worked with colleagues within the firm s 12 international locations on global scale human resources projects. She is a Chartered Fellow of the Chartered Institute of Personnel and Development (CIPD) and has an MSc in Human Resources. Crestbridge CEO Graeme McArthur We are delighted to welcome Fiona to the Crestbridge senior team. Our workforce is fast approaching the 100 milestone and so her specialist knowledge of global human resources issues combined with her experience of working within a fast-paced international financial services and legal environment will be invaluable to Crestbridge as we continue to grow our teams and business share. JTC Group appoints Group Head of Fund Services Angus Taylor has joined JTC Group as the Group Head of Fund Services. He joins the business Herald Trust Company where he was Managing Director. Prior to that he was the Deputy Chief Executive Officer for Kleinwort Benson Private Bank. In his new role he will primarily be responsible for leading the growth strategy for the JTC Fund Services division across all of the Group s international jurisdictions. The Chairman and CEO JTC Group Nigel Le Quesne said Angus has significant knowledge of both onshore and offshore fund administration services and I am confident in the ever changing regulatory environment he will use his expertise and strong leadership skills to drive the fund operations forward. 12 CONNECT JUNE WITH OUR RANGE OF MORTGAGES YOU COULD MOVE IN FASTER With a same day decision in principle your new home could be closer than you think. Choose from the flexibility of fixed and variable mortgages or the ability to borrow up to 100% of the house value . Call our friendly mortgage team today who will help guide you through the home buying process and get your dream house on its way. CALL US ON 730730 PO Box 509 Fairbairn House Rohais St Peter Port Guernsey GY1 6DS Security guarantee can take the form of an interest earning deposit with Skipton International Limited (SIL) or a charge on another property. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. Minimum age 18 years. All mortgages are subject to status and valuation. SIL requires a first charge on the property as security. SIL registered in Guernsey 30112 is a wholly owned subsidiary of Skipton Building Society (SBS). SBS established 1853 has given an undertaking agreeing to discharge the liabilities of SIL in so far as SIL is unable to discharge them out of its own assets and whilst SIL remains a subsidiary of SBS. SIL is a participant in the Guernsey Banking Deposit Compensation Scheme. The Scheme offers protection for qualifying deposits up to 50 000 subject to certain limitations. The maximum total amount of compensation is capped at 100 000 000 in any 5 year period. Full details are available on the Scheme s website or on request. SIL is licensed under the Banking Supervision (Bailiwick of Guernsey) Law 1994 as amended. To help maintain service and quality telephone calls may be recorded and monitored. SIL abides by the Jersey Code of Practice for Consumer Lending. SPECIAL REPORT Building Costs You ve probably heard someone say they judge economic activity by the number of construction cranes they can see working. It s one of the more imprecise measures of the effect building work has on the economy but the point is clear if we are spending money on development then there must be both confidence and jobs. One of the first things governments do to stimulate the economy is reach for the hard hat the States of Jersey were criticized by the Fiscal Policy Panel for not getting enough building projects started even though the money was there to pay for them. But recently some within the industry have begun to question the fees charged in Jersey to go through the planning process and ask whether it is acting as a handbrake on economic recovery. Ben Qu r ereports. It s an interesting conundrum. Would bands as had been the case previously. you rather have cheaper small planning Extend that trend out over the subsequent applications say for a small extension decade and you reach the point we are at a new sign or a satellite dish which today when groups such as the Chamber makes it cheaper for individual Islanders of Commerce are pointing out just how to improve their own homes but have expensive it is to go through the planning significantly higher fees for anything process in Jersey compared to places like larger so this part of the cost for Guernsey the Isle of Man or England. For development in Jersey is far higher than the really big developments those fees PLANNING FEES IN JERSEY Guernsey England or the Isle of Man can reach eye-wateringly high levels 360 000 for Le Masurier s J1 project on It s Planning Department that outline planning fees are to be reduced and a cap on the full planning application fee for any that system of cross-subsidy that we have Recent announcements by the Board Street 205 000 for Dandara s had in Jersey since 2005 when the former one development is to be introduced are in general steps to be commended. proposed new office building next to the Environment Minister Senator Freddie The reduction in Outline planning fees may assist in the reduction of financial risk at the early stage of potential development however any outline Grand Hotel and 348 000 paid by the Cohen followed a trend which was already advice that is provided in non binding. Therefore for any certainty a full application would have to be submitted at full fees. States of Jersey Development Company starting to emerge and effectively pegged Full Planning Application fees for any one development are now to be capped at 200 000. On for face of it this is goodSquare applications. the the Esplanade new however in reality the fees for the small applications at cost-ofbased on applicable planning application fees this will only effect developments of circa 35 million plus which are extremely few and far between. living increases only with the slack picked Chamber printed a series of examples in a The vast majority of applications will not be affected by this cap. up by anything larger. He also changed recent newsletter (see figure below) with In light of the changes above Chamber have prepared a comparison of Jersey s current Planning Fees for notional commercial and residential the Jersey cost falling anywhere between the system so that bigger developments developments as well as single dwellings against current planning fees in other jurisdictions namely Guernsey The Isle of Man and England which two and four times greater than Guernsey. paid by the square metre rather than in makes some interesting reading. Comparison of planning fees for a notional commercial development for a building of 20 000m and a site area of 0.45 hectares Jersey Outline Planning Detailed Planning Guernsey Outline Planning Detailed Planning Notes 25% of Full Planning Fee - 50 700 Based on 10.14 per m - 202 800.00 - Capped at 200 000 No Additional Fee - see note see note 200 000.00 200 000.00 2 800.00 40 340.00 43 140.00 see note see note Based on 0.45 ha 560 per 0.1 ha or part there of 840 for the first 250 m and 500 for the each additional 250 m and for any additional part remaining England Outline planning Detailed Planning see note see note 1 925.00 43 965.00 45 890.00 Based on Hectares 0.45 ha 385 per 0.1 ha or part there of Based on 19 049 115 & for each additional 75m in excess of 3750m to a max of 250 000 Isle of Man Outline planning Detailed Planning 1.00 135.00 see note 135.00 7 710.00 7 845.00 Based on 135 for the first 0.5 ha plus an additional 135 per 0.1 ha or part there of. 240 for first 300m2 of development then 105 per 20m of floor area up to a maximum of 7 710 Comparison of planning fees for a notional housing development circa 12 350m and a site area of 1.98 hectares and based on 117 units 14 CONNECT JUNE Jersey Notes JUNE CONNECT 15 We do not contest that in a large or even medium size scheme planning fees are a small element of the overall cost. The point is however the level of risk on large schemes as an example the developer is required at a very early stage of the development to pay up to 200 000 to planning with little or no certainty that a permit will be granted remembering that any outline planning advice they may receive is non-binding. SPECIAL REPORT So our starting point has to be is that actually a problem Not according to the Planning Department. Its Director of Development Control is Peter Le Gresley There will always be other costs in doing development whatever they are. Our planning fee is still only a fraction of a percentage point of a development cost. The J1 scheme within the planning fee might have been 360 000 but the development cost would have been tens of millions and we have to look at it in that context. That is where Senator Cohen was coming from he was looking at it with his developer s background and fitting it into the various fees that developers have to factor in for architects marketing estate agents quantity surveyors etc. But for groups such as the Chamber of Commerce the fact that the high planning fee is only a small part of the overall development cost is misleading they point out that for developers it s all about risk. Ian Taylor is the Chamber s Chief Executive We do not contest that in a large or even medium size scheme planning fees are a small element of the overall cost. The point is however the level of risk on large schemes as an example the developer is required at a very early stage of the development to pay up to 200 000 to planning with little or no certainty that a permit will be granted remembering that any outline planning advice they may receive is non-binding. On large developments this risk is very likely to affect developers decisions whether to proceed with schemes or not and therefore affecting the input into the local economy of the total scheme value which could be tens of million. If the planning fee was more in line with other jurisdictions in the Channel Islands and UK then developers would be more likely to take that risk with say 40 000 or 50 000 but not at the level of Jersey planning fees currently . The Planning Department has tried to recognise that with a cap introduced for the fees on the very few developments which would incur charges greater than 200 000 and a better system of outline planning Comparison of planning fees for a notional housing development circa 2 646m and a site area of 0.56 hectares and based on 21 units Jersey Outline Planning Detailed Planning Guernsey Outline Planning Detailed Planning England Outline planning Detailed Planning Notes 25% of Full Planning Fee - 26 861.25 Based on 8.70 per m . 200 000 upper limit No Additional Fee - see note 2 646.00 8.70 23 020.20 23 020.20 3 360.00 11 760.00 15 120.00 2 310.00 8 085.00 10 395.00 5.60 560.00 see note Based on 0.56 ha 560 per 0.1 ha or part there of 560 for each house see note see note Based on Hectares 0.56 ha 385 per 0.1 ha or part there of Based on 385 per dwelling (for a total of less than 50 dwellings) Isle of Man Approval in Principle see note 270.00 Detailed Planning see note 550.00 820.00 Based on 135 for the first 0.5 ha plus an additional 135 per 0.1 ha or part there of. Capped at 7 710 415 for first 5 000m2 of site area then 135 for each additional 1 000m2 of site area Capped at 7 710 Comparison of Planning Fees for a Notional Single Residential Dwelling of 120m2 Notes JUNE CONNECT 17 SPECIAL REPORT application advice so that a developer can pay 25% of the total cost for an outline in principle decision with the balance due later as a way of mitigating the point on risk. The theory behind the current system is that the route through it for individual Islanders should be as cheap as possible. PLANNING FEES IN JERSEY That s an interesting development of the One developer who chose not to be named States core charging principle of user said that planning fees in Jersey increased Recent announcements by the Planning Department that outline planning fees are to be reduced and a cap on the full planning application fee for any pays as it seems that all users are not by 25% in 2010 and had gone up by 500% one development is to be introduced are in general steps to be commended. equal as Peter Le Gresley explains the since 1st January 2009 which pushed them The reduction in Outline planning fees may assist in the reductionones big users subsidise the small of financial risk at the early stage of potential development however any outline higher than London. He also claimed that advice that is provided in non binding. Therefore for any certainty a full application would haveat the currentat full fees. equivalent building to be submitted levels an We acknowledge that our commercial Full Planning Application fees for any one development are now towecapped at 200 000. On being put up is good new or the City of London the face of it this in Jersey however in reality rates are more expensive and be simply would which are extremely few expensive here based on applicable planning application fees this will only effect developments of circa 35 million plus be about 80% moreand far between. draw peoples attention to the fact that our The vast majority of applications will not be affected by this cap. to go through the planning process. minor developments are much cheaper and fees charged on commercial applications. However one effect of the recession is to push the needs of the wider economy much more strongly. While providing cheap planning permission is clearly good for the applicant the construction industry argues it does little to provide any jobs or new investment. In light of the changes above Chamber have prepared aare free. Ifof Jersey s current Planning Fees for notionala policy and making it more in fact some of them comparison you were But changing commercial and residential developments as well as single dwellings against current charge fees all sorts of to look at the UK they planning for in other jurisdictions namely Guernsey The Isle of Man the planning process expensive to go through and England which makes some interesting reading. things. They charge for varying a condition for the general public is hardly going to or removing a condition or to discharge a be a vote-winner in an election year but Comparison of planning fees for a notional commercial development for a building of 20 000m and a site area of 0.45 hectares condition we do not charge for any of that . still it is a policy which Ian Taylor from Chamber argues does need to revisited Jersey I ve seen the Chamber report but they Notes Outline Planning Detailed Planning Guernsey Outline Planning Detailed Planning 25% No Additional Fee - see note have not done the comparison at the lower of Full Planning recognise that small planning applications We Fee - 50 700 Based on 10.14 per m - 202 800.00 - Capped at 200 000 see note 200 000.00 end. I could equally give you a comparison in Jersey are subsidised. But are these 200 000.00 England Outline planning Detailed Planning Isle of Man Outline planning Detailed Planning at the lower end where the vast majority reductions in small application fees really of applicants see note are significantly discounted significant 0.1 ha compared to Based on 0.45 ha 560 perwhen or part there of the significantly 2 800.00 compared to other jurisdictions. To look 840 for the first 250 m and 500 for the each additional 250 m at higher non-subsidised planning fees charges see note 40 340.00 and an example if you were doing a 20 square for any additional part remaining to other jurisdictions in Jersey compared metre extension to a house 43 140.00 charge we would Jersey planning fees are significantly more that at around 4.80 per metre so that would that Guernsey England and the Isle Based on Hectares 0.45 ha 385 per 0.1 ha or part there of of Man see note 1 925.00 be around 100.note would be paying 300 on 19 049 115 & for each small developments of Based at all levels from additional 75m in excess of see You 43 965.00 for that in the UK and around 120 in 3750m to a max ofhouses right up to the very large major two 250 000 Guernsey. Our charge for a 45 890.00 sign is 55 which schemes. In fact comparing the planning is around half what you pay in the UK . fee for a two house scheme Jersey is He points out that his team deals with or part there of. almost twice the cost of Guernsey almost about 1 200 applications a year on which it for first 300m2 of development then 105 per 20m of floor three times the cost of England and over 240 see note 7 710.00 makes a loss with that loss recouped by area up to a maximum of 7 710 expensive than the Isle of the four times more 7 845.00 1.00 135.00 135.00 Based on 135 for the first 0.5 ha plus an additional 135 per 0.1 ha Comparison of planning fees for a notional housing development circa 12 350m and a site area of 1.98 hectares and based on 117 units Jersey Outline Planning Detailed Planning Guernsey Outline Planning Detailed Planning England Outline planning Detailed Planning Notes 25% of Full Planning Fee - 26 861.25 Based on 8.70 per m . 200 000 upper limit No Additional Fee - see note 12 350.00 8.70 107 445.00 107 445.00 11 200.00 38 160.00 49 360.00 7 700.00 26 754.00 34 454.00 19.80 560.00 see note Based on 1.98 ha 560 per 0.1 ha or part there of 320 for each flat and 560 for each house see note see note Based on Hectares 1.98 ha 385 per 0.1 ha or part there of Based on 19 049 for first 50 dwellings then 115 for each additional dwelling to a max of 250 000 Isle of Man Approval in Principle see note 2 160.00 Detailed Planning see note 7 710.00 9 870.00 Based on 135 for the first 0.5 ha plus an additional 135 per 0.1 ha or part there of. Capped at 7 710 240 per unit for first 300m2 then 240 for each additional 300m2 per unit - 28 080. Capped at 7 710 18 CONNECT JUNE Man. Comparing a medium size housing development Jersey planning fees are over 28 times more expensive than the Isle of Man. This just doesn t seem to stack up . But as Peter Le Gresley points out developers still seem very willing to go through the planning process as there are plenty of planning permissions which have been granted with the development still waiting to start in fact there is 1.5m square feet of office space and 2 000 homes largely flats all with Planning permission and ready to go. Conversely the developer we spoke to argued that the amount of applications waiting to be built wasn t a sign that developers were content with the system he said that they had no choice but to apply for planning permission as without it the land value of their sites would decrease. So receiving permission was a way of maintaining that value even if development wasn t due to start for some time. Ultimately Planning make the point that their two regulatory functions Planning and Building Services are required to be self-funding with about 95% of their cost paid for through the fees generated from developers. The department s policy section which looks after functions such as designing a new Island Plan or overseeing historic buildings is paid for centrally i.e. from general States revenues supplied by taxes. As Peter Le Gresley says they have to charge a level of fee which is sufficient to cover the costs incurred by the Department. They are not allowed to return a loss to the Treasury In 1996 we first started charging for Planning applications and as with all of these types of user-pays charges it has gradually extended to the point where Planning and Building are close to self-funding less a few overheads. So there is very little headroom for us to increase fees before it becomes a situation where we are actually taking more money than we are spending. We have absorbed a 300 000 CSR (Comprehensive Spending Review) cost while all of this has been going on we have not passed that on. My team has to bring in 1.6 million per year to break even that s about four J1 schemes per year. But you don t get that you get one of those every four years. And we need to take enough to pay the wages and keep the lights on. If we didn t get enough applications we would not be meeting our income targets. So we would look at the need to make savings or we would have to cut our costs base or go to the States cap in hand. We would have to make a case to the Treasury . There is a tension here with the department relying on sufficient flow of larger applications to generate fees to meet its costs and major developers saying they are wary of going through the process because of the scale of the costs incurred and the risk of incurring that cost before a development has even started. You might argue that the winner in all of this is the taxpayer who doesn t have to fund these planning functions and gets cheap planning permission whether it is for a new window sign satellite dish or minor extension. But ultimately the construction industry is known to be a critical sector within the wider economy hence the reason that attempts by the States to alleviate the recession have basically focussed on paying for more building projects not only do they create jobs directly they feed ancillary employers such as plumbers surveyors architects (and also it seems public servants at the planning department) as well as creating confidence amongst business and investors and facilitating growth. Ultimately that means if planning fees are truly acting as a brake on construction activity it is not good news for anyone with a job. JUNE CONNECT 19 CSR CSR has its fair share of cynics those who think companies throw a bit of money at charitable causes just to look good but nowadays that simply doesn t work. Providing funds is obviously a part of it how many sports would suffer if they couldn t receive sponsorship Corporate Social Responsibility has always been around in some form think back to Dickens A Christmas Tale - but it was in the 1970s that it became mainstream. In recent years with a new generation of socially conscious consumers it is now seen as a must have rather than an option. As Jim Coupe Managing Director of Skipton International explains it is now a lot more than just handing over a cheque. he goodpurpose report compiled by Edelman is an annual global research study that explores consumer attitudes around social purpose. Conducted in 16 countries with 8 000 adults the 2012 report found that 72% of consumers would recommend a brand that supports a good cause over one that doesn t a 39% increase since 2008. T Whilst sharing profits back into the community is one of the ways to achieve this there is far more to a good Corporate Social Responsibility (CSR) strategy than that. Firstly it is not just the new consumers who are more demanding of CSR employees are too. Staff are the ambassadors of a business and it makes them feel good to know that the company they work for is also doing good in their local community. With the rising concerns of a shortage of skilled workers in the UK and in Jersey as our economies come out of recession attracting key workers is going to be more than just how much you pay. If it s a choice between two companies and one is giving back and the other isn t then that might just be the deciding factor. It is not just about mobilising your staff but also mobilising your communications and ensuring you Whilst some may argue the recession has made consumers more aware of social issues and the profits being earned by businesses there is also the generational factor. The upcoming consumers have been brought up with environmental and social issues in the school curriculum most schools nowadays encourage recycling volunteering in the community and other social improvement projects. As these consumers grow up they re going to want the same values in the companies they do business with. Making CSR count are working with the right skilled parties to achieve your CSR goal. Ensuring you partner with the best third party leaders will be critical to the success of your CSR project. In Jersey Skipton International is lucky enough to be able to work with the Jersey Arts Trust for the Skipton Open Studios project. The Arts Trust is without doubt the best partner to be delivering such an ambitious project. They have the knowledge and experience and the contacts and importantly they know what it is that the art community needs. Skipton Open Studios has been highly successful for us because we have involved our staff teamed with the best partners and built a solid communications strategy to ensure everyone knows about the project. It is also successful because of another criteria critical to CSR success long- term commitment. We are now in our third year of the Skipton Open Studios and the event itself has been going seven years. Last year it saw a record number of artists involved and a record number of visitors. This year the Arts Trust is evolving the concept and moving the centre of the exhibition into CCA Galleries International with installations in the Royal Square and away from the Weighbridge. They are also splitting the Open Studio locations into east of the Island and west and holding them on consecutive weekends to make it easier for everyone to get around them and linking the studios with guided cycle tours led by Blue Badge Guide Arthur Lamy. All of these add up to a CSR project that mobilises and adapts to ensure it is building engagement with the key audiences and our community. CSR has its fair share of cynics those who think companies throw a bit of money at charitable causes just to look good but nowadays that simply doesn t work. Providing funds is obviously a part of it how many sports would suffer if they couldn t receive sponsorship We couldn t achieve what we have with our CSR projects without providing the money to provide the resources but it s got to be more than money. A business has to put its heart and soul into a project enter into it enthusiastically its staff need to be onboard not just the executive committee or an enthusiastic individual in marketing. It should also reflect the core values of your business. Skipton International has retained its mutual heritage from parent company Skipton Building Society in the UK. We believe in connecting with our customers and our community not just through the transactions we make but in all walks of life. We all live in the Channel Islands your community is our community. JUNE CONNECT 21 PROPERTY INVESTMENT The experience so far has been excellent the information has been insightful and readily available and our investment consultant at Select Property David has been responsive and offered helpful guidance in regards to which unit to purchase Make an educated investment Select Property is a property investment specialist and one of the UK s largest vendors of investment property with offices in Dubai London and Manchester. Since it was founded a decade ago the company has sold some of the highest quality property investments on the market amounting to more than 9 000 properties to clients in over 100 countries. ince 2004 overseas investment in the UK has been steadily rising and an asset group that has been particularly popular is property. British real estate has always been regarded as a stable investment type which has led to heavy spending in this sector over the last few years. S A property type that has predominantly caught buyers eye is student buy-to-let. Due to a considerable uplift in the number of students in the UK there is now a drastic shortage of suitable accommodation leading to a significant increase in demand. This has been recognised globally by investment professionals resulting in student property emerging as the UK s strongest asset class. Within this category purposebuilt accommodation developments are thought to provide the highest returns. Vita Student is a provider of private accommodation in the UK and its products represent the very finest student residences on the market. It offers bespoke studio apartments specifically designed for students alongside a large communal hub which includes relaxation study and social areas. It currently has eight developments across the UK in popular university cities such as Manchester Southampton and Exeter. The latest development has just been launched in Sheffield which serves the needs of 63 000 students and offers investors an assured 35% net return over five years. More than 1 000 Vita Student apartments have been sold by Select Property to investors eager to benefit from this flourishing sector. A significant amount of these apartments have bought by investors from the Channel Islands - and Nick and Penny Adams from Guernsey are two such buyers. Mr and Mrs Adams have recently purchased two Vita Student apartments in Southampton and Exeter. He explained We ve previously owned several buy-to-let properties but this is the first time we have experimented with a hands-off opportunity. We have two properties in Guernsey and one in the Bahamas which have all performed well but haven t been as profitable as they could have been. For example rental yields in Guernsey are very modest and buying abroad can cause a lot of issues due to currency exchanges and complicated tax laws. We decided to buy two units in Southampton and Exeter as we know both cities quite well having friends in Exmoor and I taught at Southampton University. Because of this we feel like we have a good understanding of the student market and know the reputation of the universities crucially they ve got growing student bodies with a large proportion of overseas students. The fully-managed aspect of the scheme is also a huge bonus as it saves us from having to source a separate management company. Promotional Feature The experience so far has been excellent the information has been insightful and readily available and our investment consultant at Select Property David has been responsive and offered helpful guidance in regards to which unit to purchase. The financial and contracts process has also been well organised. All of this has made us optimistic about the rental return the developments will achieve once they are completed. JUNE CONNECT 23 PENSIONS If you re taking a short-term view the past year has not been good for those with a large exposure to gold in their portfolios. However when assessing performance over decades and even centuries gold has been an effective way to preserve purchasing power. Planning for a golden retirement aintaining a long-term view of wealth in today s challenging economic environment is difficult. However taking a long-term view is especially important when considering how to allocate your pension investments. Professional advice should be obtained and allocations reviewed on a regular basis as the facts of each person s financial situation will determine whether holding physical gold as part of their pension investment strategy is appropriate. It is important though to understand the nature of gold before assessing its possible inclusion in a pension portfolio. M inimitable tangible asset that is produced for accumulation because it is money not a consumable commodity. Therefore gold should not be viewed merely as an investment but as a wealth-preserving asset. Hasn t this been a poor year for gold returns If you re taking a short-term view the past year has not been good for those with a large exposure to gold in their portfolios. However when assessing performance over decades and even centuries gold has been an effective way to preserve purchasing power. For example an ounce of gold buys approximately the same amount of crude oil it did 60 years ago. What s more it also buys about the same amount of crude oil today as at any other time during this period. This remarkable consistency holds true across many examples and much longer time periods - for example the amount of bread or clothing that an ounce of gold could buy 2 000 years ago. What gold has done exceptionally well throughout history and better than any national currency is preserve purchasing power which is one of the basic functions of money. Should not gold be viewed as just another volatile commodity All commodities are produced for consumption and therefore disappear. In contrast nearly all the gold mined throughout history still exists in its above-ground stock so it is fundamentally different from commodities. Given that the value of each tangible asset derives from its usefulness and further that gold is not consumed and so does not disappear after use like commodities the value arises differently than that of commodities. Gold is a unique Please note that GoldMoney does not give advice on pension planning. Such advice should be sought from a person or body who is regulated to provide this. Information relating to Jersey tax law is provided for general guidance only. Is it the right time to buy gold for retirement purposes Martyn White of GoldMoney answers some pertinent questions. Why has the purchasing power of gold been so consistent over long time periods Gold preserves purchasing power because the above ground stock of gold (the goldmoney supply) rises by about 1.75% per annum year after year and this growth rate is approximately equal to world population growth and annual new wealth creation globally. In contrast the growth rate of national currencies can vary greatly. Like all assets gold can at times become overvalued and undervalued but over the long term gold has maintained consistent purchasing power. company and stored in independent fully insured allocated storage can be used. GoldMoney fits all of these criteria and we are now working with local RAT scheme pension providers to develop this offering. What about owning gold through Exchange Traded Funds Exchange Traded Funds (ETFs) even if backed by gold are not usually considered to be tangible moveable property and therefore may be permitted to be held in a Jersey pension. However one needs to keep in mind that ETFs are a form of paper gold with associated counterparty risk. Paper gold provides exposure to the gold price by tracking the spot price of gold. Consequently you can use paper gold as a trading tool but it is not an alternative to owning physical metal. If you want to own gold because of its safe-haven attributes then buy physical metal. And there are only two ways to own physical gold either buy physical gold and store it under your own control or have another party do this for you. Can local residents purchase physical gold for their Jersey pensions As well as Self Invested Personal Pensions gold has been included among the list of approved investments for Retirement Annuity Trust Schemes (RATs). Up until now only cash securities or financial instruments traded on a recognised stock exchange and units in collective investment funds were able to be included in the RAT pension schemes. Other forms of tangible moveable property are not permitted. Only investment grade gold bullion purchased through a regulated gold bullion JUNE CONNECT 25 BANKING In a difficult economy and because every business is different and faces different issues a flexible approach to finance can mean the difference between success and failure. Simple personal fair - helping businesses to prosper hen businesses need an injection of capital to meet their growth objectives or to provide liquidity to keep them steering the right course most will turn to their bank for support. Richard Le Breton Relationship Director at Santander Corporate and Commercial Banking explains the importance of undertsanding the local economy and business environment. W Increasingly though banks are being more cautious in their lending decisions and the last few years have certainly been difficult for businesses. This is as true for well-established stable companies as it is for newly established business start-ups. When it comes to providing banking services to local businesses Santander Corporate and Commercial Banking is in many ways the new kid on the Jersey block but the team is committed to supporting business customers at whatever stage the company is at now and in the future. It is vitally important that banks understand the challenges facing their business customers globally nationally and particularly locally. This has led Santander to look to grow organically by supporting local businesses in their own communities and has resulted in a rapid expansion of our Corporate Business Centre network from 20 in 2009 to 35 in May 2012 when the Jersey Centre opened to now 52 at 30 April 2014. These Corporate Business Centres are based at the heart of local communities and are run by relationship directors with specific knowledge of the local economy and business environment. In Jersey our relationship directors have many years of experience of the local market. They are therefore able to use their in depth knowledge of Jersey s business environment to structure solutions in support of your ambitions and to take account of your particular circumstances. This means that either face to face or on the phone you can speak to someone who knows your business will understand your aims and objectives and is aware of the specific market conditions which will influence how they can be achieved. Companies are therefore able to access Santander s global expertise on their doorstep. For many companies this solution may involve a more flexible current account the introduction of online banking or another general banking service such as corporate credit cards merchant acquiring services international payments foreign exchange or bulk payment facilities. However since many companies are experiencing tighter cash flows at present often the subject of borrowing will be discussed. In a difficult economy and because every business is different and faces different issues a flexible approach to finance can mean the difference between success and failure. Santander is able to create an optimum financing solution for your business on a truly bespoke basis whether a simple overdraft a longer term unsecured loan or a credit facility secured on property or other assets. Often these financing solutions may involve a specialist area of the bank such as invoice financing asset financing or supplier finance. Even in how it lends Santander aims to be different in its approach to other banks. We operate a model of credit partners who will meet with the client alongside the relationship director to develop the lending solution. This ensures that credit partners are fully engaged and are not just a faceless decision function. From my perspective as a relationship director this helps ensure we make appropriate decisions as quickly as possible - and it also means that we can apply Santander s general underwriting guidelines in a more flexible way by treating businesses individually as the credit partner gets to know them rather than applying a one size fits all policy. I believe this is a real differentiator locally At Santander we take great pride in building meaningful relationships with our clients with the aim of becoming the best bank in the UK for our people our customers our shareholders and our communities. To achieve that aim everything we do is built around The Santander Way simple personal fair what a bank should be. JUNE CONNECT 27 What is the difference between bookkeepers and accountants And what s the difference between management accounts and statutory accounts Unfortunately there is nothing to stop anybody calling themselves an accountant. This means that it is worth understanding who is looking after your financial records. Whilst you would not necessarily think of bookkeepers as accountants they do accounting. Their role is largely to keep the score by recording the financial effects of what a company has done. They are usually the best people to do routine accounting work - basically everything from bank reconciliation to inputting supplier bills and invoicing customers. However you d be surprised at the varying quality of a bookkeepers work I always am and in my experience saving money on a cheap bookkeeper or doing it yourself is a false economy. Either you are wasting your own time or you are wasting accountancy fees when it comes to year-end. How do you know if yours is any good Ask your accountant. Qualified accountants are experienced professionals who have undergone rigorous training and passed extremely difficult exams. There are a number of leading qualifications - but if you look for the letters ACA FCA ACMA FCMA ACCA or FCCA (if you want to know what they stand for just Google) after the accountant s name you should not go too far wrong. Qualified accountants are best at dealing with the non-routine aspects of your business e.g. helping you to increase your profits produce your statutory accounts and to pay less tax. There are also many unqualified accountants . Before deciding to use the services of one I suggest you ask yourself Would I put the health of my family in the hands of an unqualified doctor If the answer is no why consider putting the health of your business in the hands of an unqualified accountant Don t be afraid to ask what qualifications and expertise an accountant has - and if you have any doubts try somebody else. Once you have worked out who the best people to look after your books are it should be easy and costeffective to generate good financial information which highlights the successes and failures of your business to assist in making better business decisions. But what information Just as there are several different types of accountants there are also many different types of accounts. However they can be grouped under two main headings. Financial accounts the annual ones that your accountant produces and management accounts. Both sets of accounts (financial and management) use the same basic information which they get from the same place - the company s accounting records. Financial accounts are compulsory for companies and must be sent every year to the shareholders in your company and to the Taxes Office. In addition they must follow a standard set of rules and conventions and show what went on during the financial year and are mainly used by people outside your business e.g. bankers customers suppliers and of course the taxman. Sole traders and partnerships must also produce financial accounts but there are not so many rules governing how they must be set out and what they must contain. Management accounts are essential for a well-run business but are not strictly required by law. As their name suggests management accounts are mainly used by management. In fact it is very rare for them to be shown to anybody outside the business - and businesses cannot usually be forced to show their management accounts to anyone other than their auditors and - in exceptional cases - the taxman. There are no rules that say what management accounts must look like. It is up to each business to decide what format will best help it to understand what is going on control the business and make better decisions. Management accounts often predict the future as well as keeping track of the past - i.e. they usually include forecasts of what is going to happen tomorrow as well as recording what happened yesterday. In contrast financial accounts only ever record what has already happened in the past. The type of information that even the smallest business should produce is an annual financial forecast in order to set a realistic goal and understand potential cash flow issues and also management accounts produced on a monthly basis. These management accounts should monitor actual trading results against those budgeted have regularly revised cash-flow forecasts covering the next three months and monitor the cost and profitability of important contracts or business lines. A proper accounting system is not a luxury that small businesses can do without. It is a necessity that they cannot afford to be without as it will assist in better decision-making increasing cash flow and profitability. By picking the right accountants and exploiting technology the cost will be far outweighed by the benefits. Is it not obvious that running your business with only annual accounts is like timing the BBQ sausages with a smoke alarm Luke Smith MD of accountants Purpose delivers straight answers to common business questions. Be careful he is blunt uncompromising and if you are sitting too comfortably you may be in for a rather bumpy ride. If you have a question for Luke please e-mail askluke bailiwick 28 CONNECT JUNE Need a manager to help during peaks of demand Wish someone could help organise you Unable to obtain additional headcount This is where we come in... We provide superior executive assistance marketing support new business development and project management. You simply buy hours with us to help you get over your pinchpoints at work. Still unsure Heres what our clients say... BEBS professionalism shined through. Their ability to see the big picture in a project and then to be able to break it down to deliver individual services worked well for us. Tracey at BEBS is an excellent marketer and manager. Tracey at BEBS has a natural networking ability putting people at ease developing rapport and as we know people deal with people they like If you are an entrepreneur a consultant or a small business owner and need more time to focus on income-generating tasks and building your business call Tracey Bull today on 07797 734 505 or email tracey to find out how BEBS can help. Search for BEBSltd on... Technology. Data Where should you store it CEO and founder of Calligo Julian Box considers the best way of looking after one of your most important assets. ver the last 12 months the news has been filled with stories about governments - predominately the United States spying on and collecting data relating to individuals including political leaders such as the German Chancellor Angela Merkel. O So where does this leave people and businesses when it comes to storing data - especially when so many are connected to services that collect data on everything we do and where we are It is easy just to say I ll keep it on my own servers at home or at work . The problem with that approach (outside of the fact that you shouldn t ignore change as it always brings new opportunities) is that it stops you and your organisation from benefiting from the large number of services that can be accessed by utilising online services not least providing improved agility availability and ease of use. Data is the new global currency with businesses and jurisdictions racing to be seen as best placed to service this rapidly growing sector which covers anything whether that s storage of personal or sensitive data data analytics especially data mining - and what is known as big data . All of these data-focused services revolve around the ability to store data safely and securely whilst allowing analysis across data sets to happen super fast and on-demand. Data is being collected from nearly everything these days from what we buy online and in shops how much fuel our cars use what we like and don t like to medical conditions. 30 CONNECT JUNE Our lives are connected to so many things and the amount of data being created is growing at an exponential rate. We created and stored more data in the last 18 months than mankind had throughout its entire history - and that speed of growth is only getting faster. This again adds a huge challenge to any person or organisation trying to plan and control their data storage requirements the days of purchasing storage up front are rapidly ending the ability to pay as you consume is not only far more efficient but also far more agile. But with so many revelations around unauthorised access of people s data what are the challenges to safely using these data services First you need to establish a safe jurisdiction for your data what I call data safe zones . For any jurisdiction to establish itself as the location of choice in any given digital area but especially around data-focused services requires a strong regulatory reputation backed by a strong regulator and a strong but fair legal framework. These attributes are incredibly important now and will become even more so in the future. When you look at what some jurisdictions especially the US are doing when it comes to data there is in my opinion a near total lack of privacy or protection of data. When selecting a jurisdiction to house your data it is vitally important to take account of their prevailing legislation and their ability and desire to enforce it. Once you have selected your location you should start by looking at the service provider which will be delivering the service and has access to your data. A recent ruling in the US has created a legal precedent allowing the TECHNOLOGY Below is a list of what I believe all organisations should look for Cantheyshowproofofdataresidency Whoaretheirultimateowners whatarethelaws withinthejurisdictionthattheownersresideinand whatarethepotentialimpactoftheselaws Howdotheyoperatetheirservicesespecially injurisdictionsthatarelocalaccessonly Understandyourlocaldataprotectionlaws andresidencyrequirementsandassessyour providersabilitytomeettheserequirements. Doesyourprovidergiveyoutheability tocontrolwhereyourdataresides Howeasyisittomoveyourdatatoanother providershouldachangeofownershiptake place thatpotentiallyputsyourdataatrisk Ensurethattheproviderhastheabilitytofully deleteyourdataincludingbackupcopies. Dotheyprovideanescrowservicethatmakesyour dataavailableintheeventofasupplierfailure Unlessit sessentialdon tuseaUScompanytoprovide yourservices it sirrelevantthattheirserversarein ajurisdictionthathasstrongdataprotectionlaws. Only once the above questions have been asked should you look at the cost. When you look through these requirements many exist in Jersey which is why I believe the Island has a great opportunity to position itself as a global leader in data services. It is one of the best regulated places in the world to do business this of course has come about due to the large financial services sector which has created a great deal of trust within the business world. Along with a great reputation Jersey also has strong data protection laws that are aligned to the EU s data protection directive. But we are independent and can adapt far quicker than many of our neighbours. With the explosion in data comes opportunity the data we create has the power to change so many things but this power requires the appropriate controls to be delivered in a properly regulated manner and this is where Jersey has its biggest opportunity. We have a modern infrastructure way beyond what could be expected for our size - and we have a reputation for stability and well-regulated services. Data archiving data analytics and data mining services across every vertical are becoming highly desirable and the jurisdictions that have the technical capabilities and the legislative system where data is put first will become the locations to do business in. With so much confusion in this space caused by the revelations court actions and lack of clarity it is important that you follow the right due-diligence and ensure you select a good jurisdiction like Jersey and a service provider that can best protect your privacy. JUNE CONNECT 31 American government to get access to data that doesn t reside within their jurisdiction by ignoring the rights of the data owner under their local data protection laws. As a consequence the US government is not required (as most people expected before the ruling) to go through the local legal system to obtain access the data. The case centred on data held by Microsoft on its Dublin- based servers (therefore under EU Irish data protection laws as well as the US EU Safe Harbour agreement which states that US companies agreed to adhere to EU data protection laws). The US government issued a warrant for access to a customer s emails that resided in Dublin. Microsoft had attempted to challenge the search warrant on the basis that the information was stored exclusively on servers outside the States but ultimately failed. In response to the ruling in the US Mina Andreeva European Commission spokeswoman for justice fundamental rights and citizenship was quoted as saying The commission s position is that this data should not be directly accessed by or transferred to US law enforcement authorities outside formal channels of co-operation such as the mutual legal assistance agreements or sectoral EU-US agreements authorising such transfers. Access by other means should be excluded unless it takes place in clearly defined exceptional and judicially reviewable situations. What this ruling has shown is that US service providers represent a much higher risk of disclosure of data without due cause and that the US government can force an American service provider to ride roughshod over the protection provided by local data protection laws. By contrast this makes service providers based in the EU and EU-aligned jurisdictions like Jersey safe and secure organisations to host personal and corporate data. Here come the girls... For the first time the Chair of the IOD in Jersey is female the fact that even needs to be commented on actually shows how far the Island still has to go in terms of gender equality at the most senior levels of business. Wendy Dorman is a tax partner at PwC she spoke to James Filleul and set out what she planned to achieve at the helm of one of the Island s two major business representative groups. Unplugged. Wendy Dorman Well the IoD Jersey branch has done a lot of good work for a long time so part of the remit for me is just to make sure that we continue to do that and there are some challenges around that challenges around making sure that we keep the membership numbers up and with the change from Hotel de France for some of our functions how that s going to work. So there is a big element of just making sure that we continue to do the good work that s been done before. And then it s looking with a fresh pair of eyes at what we might want to do differently or in addition to what s been done before. Bringing a slightly new team together because it s not just the chairman that s changed there s been a few other changes on the committee as well. JF What are the main issues you particularly want to pick up WD In terms of what the IoD does I guess it s three main elements one is that we want to facilitate networking between our members and that s a very important element of what we do. Another element is thought- leadership and education through the lunches etc. and then there s the political element if you like. Looking at where we want to make our voice heard on various issues. With elections coming up and with some really big issues facing Jersey what are we going to be saying Where are we going to really focus our comments and our energies And for me that s around growth how we re going to achieve growth and what kind of growth we want to achieve so that we can continue to enjoy a good standard of living in the Island for everybody and continue to have a fantastic quality of life here. That growth is going to have to come from different areas. We all know that. That s been on the agenda for some time now trying to diversify the economy. We need to work out where we re going as an Island what we want to be famous for what the barriers are to achieving that and how we can bring those barriers down. One of the key areas we think is population and what is the right population size How do we control immigration It s a big issue for most nations in the world certainly a big issue in the UK at the moment and absolutely fundamental for us a very small island with finite land resource we need to make sure that we ve got that policy right. That s why we ve chosen it as our topic for the annual debate this September. JF Let s look at that issue of economic growth specifically. What are the dangers if our economy continues to shrink as it has done in recent years WD Well we know we ve got an ageing population and that s going to be a fairly critical issue over the next generation. We re already seeing the effects of that now. If we don t grow the economy and create jobs then we ll lose more of the younger people from the Island and we ll have more older people to support which means tax rises which in turn means potentially lower standards of living. There are real challenges for the finance industry so if we don t find new growth opportunities we can t assume that we can continue the current level of jobs and economic activity. It s not just growth to create more jobs it s that we need to create new opportunities just to stand still. 32 CONNECT JUNE JUNE CONNECT 33 34 CONNECT JUNE UNPLUGGED JF Can you grow the economy without growing the number of people in Jersey And is there a problem with more people in Jersey anyway WD Well clearly there are problems around having too many people in the Island absolutely. No one wants to see overcrowding housing becoming even more unaffordable traffic becoming more and more of a problem. I think it s really about making sure that we can control who comes in so that people that are coming into the Island are actually adding value to the economy. Whether it s at the higher level with entrepreneurs creating jobs and running businesses or whether it s people at a lower level doing jobs that need to be done - but it s a question of making sure we get the right people coming in and it s how we control that that is really important. JF We ve got the interim population policy. What s your view on that WD Well that s the policy that we ve had for some time now and we haven t managed to actually achieve the number that has been targeted. In my view it s unfortunate that we had to put a number on the interim population policy. I would have preferred us to have just worked towards a longer-term population policy that makes sense. I think it s unfortunate that we had to mention a number. Why do I think that It s because to the outside world it looks as though we re potentially closed for business and that s unfortunate because we ve seen in the past it s damaging to the Island if the perception is that we re closed for business. Also it s not a policy that is possible to achieve. You can t it s a net number so it depends how many people leave the Island and there is no absolute control over who comes in so I don t believe having a number is right and I hope that we re not going to see much of a change in policy over the next couple of years from what we ve had in the recent past. JF What do we need to do to get some growth in the economy WD I think we need to be hungry and I think we need to take risks. If we re too risk-averse then I think we ll miss opportunities. We need to be prepared to fail sometimes. Because not everything will succeed but if we re too scared to fail then we won t take risks and we won t get the business. You ask about how we increase economic activity. It s partly bringing people into the Island but it s also productivity and having the right people with the right skills and if we don t have that entrepreneurial spirit then we won t succeed. JF You ll be the first female chair of the IOD in Jersey. How do you see that WD Well interestingly I heard today that whilst I m chairman of the Jersey branch of IoD there will also be a female president of the JSCCA (Jersey Society of Chartered and Certified Accountants) and potentially a female President of the Chamber so girl power reigns. It would be nice if it wasn t unusual. I hope that it inspires girls and women to see that they can take leadership roles so I hope it will be a force for good. Diversity for me is a really important issue. Women do bring something different. That s beginning to be recognised in terms of board composition and the work environment generally so I think we will see more and more of this in the future and that s a very good thing. JF How do you feel about it WD Very excited. Some trepidation. The thing that really strikes me as different is that the IoD does have a political voice and I need to make sure that I use that in a responsible way and as a force for good. So that s exciting. Because there s other new members of the executive it s a good time for us to look at what the IoD Jersey branch does and think about what we might be able to do differently. One of the things we are keen to do is to encourage younger members because I think that would be a really positive step forward. That s one of the things I d like to think about over my term of office. JF For those who don t yet know you what will they get with Wendy Dorman WD Well one of the things that I feel is important is being balanced and I would say that I think I m balanced. I work hard and I respect other people JUNE CONNECT 35 Well clearly there are problems around having too many people in the Island absolutely. No one wants to see overcrowding housing becoming even more unaffordable traffic becoming more and more of a problem. I think it s really about making sure that we can control who comes in so that people that are coming into the Island are actually adding value to the economy. UNPLUGGED who work hard. I try and do the right thing and I respect other people that try and do the right thing. I do genuinely like to play people to their strengths and a diverse group of people brings something so much better than a group of men in grey suits that have got the same views and have the same perspective on life. JF What have you learnt which will serve you well in this role WD I do think you gain confidence as you go through life and my career has been important to me in terms of building my own confidence. Having worked in London for many years before I came to Jersey (I ve been in Jersey 12 years now) I think gives me an outside perspective. I appreciate that s not unusual but I think it s important. I think as you go through life you gain something from everything you do and you bring that to bear. Having done the JSCCA role I think will help me in terms of chairing the meetings and some of the more public side of things but this is new and different. It s quite a departure from anything I ve done before so exciting in that respect. JF If we did this interview again at the end of your term of office what would you want to say is the most important thing you did WD At the end of my two or three years I would hope that we re not sitting here saying what went wrong Why did the debate not work Why are we not having our lunches Why is our membership falling So the first thing is to make sure that I don t mess up what s been a very successful organisation. Secondly if nothing had changed and we had just carried on as before and there was nothing different about it then I would feel disappointed. So new members but particularly younger members changing some of the way we do things to freshen it up would be great. And for me personally increasing my network and learning more about actually what makes Jersey tick connecting industry to the States and contributing to the debate on the island s future. I would like to contribute to doing something in that direction. The thing that really strikes me as different is that the IoD does have a political voice and I need to make sure that I use that in a responsible way and as a force for good. 36 CONNECT JUNE I heard today that whilst I m chairman of the Jersey branch of IoD there will also be a female president of the JSCCA (Jersey Society of Chartered and Certified Accountants) and potentially a female President of the Chamber so girl power reigns. JUNE CONNECT 37 Powering the family business Arranging to meet Peter and Catherine Le Brun in the packing shed at Homefields farm in St Clement on a busy Monday morning when all hands were on deck getting the deliveries out was probably not a good idea. Thankfully years of training and theatrical discipline combined with the ability to multi-task means they could both talk answer the phone process orders and supervise staff all at the same time. Their grandfather Vernon bought the traditional Jersey farm complex and surrounding land in 1962 growing tomatoes and vegetables and running a dairy herd. By the time his son Trevor 38 CONNECT JUNE This month we meet a brother and sister for whom sliding doors are becoming something of a habit. As well as the business passing from one generation to the next they are also living proof that farming is not a career choice it is in the blood. Paula Thelwell went to meet business partners Peter and Catherine Le Brun who both gave up the bright lights of London s theatreland to work on the family farm. took over the cows had gone and a variety of vegetables were being grown both for export and to be sold here in Jersey. Eventually the farm concentrated on the local market and opened one of the Island s first farm shops 20 years ago. Trevor is in the process of handing the reigns over to the third generation and they have firm ideas and plans to keep the farm going for another 40 years and more. Not only are they growing the business going green and protecting the environment they are on a mission to get young Islanders eating fresh local produce when it is at its seasonal best and there s no time like the present. We have got plans for the future we d like to have a caf on site (Catherine also has plans for a juice bar) to promote healthy eating and to use up our excess produce. We are really keen to do this to use up our surplus in cooking soups and making salads so we don t end up having to dump so much Peter said. Mindful that they sell fruit that has travelled half way across the world they want to offset those food miles and carbon footprint by being more environmental in SLIDING DOORS the business. They have to stock imports because that is the way of modern food retailing and Jersey cannot produce all its food needs. Moreover consumers have got used to eating strawberries all-year-round and then complain they have no taste in mid-winter As Trevor slows down their lives have moved up quite a few gears Dad is a bible of knowledge when it comes to growing and we have very little experience. This year we ve chosen to grow crops that are very low maintenance crops which don t take so many man-hours. We also grow our own herbs and import what we can t supply. It is really exciting Peter added. Catherine and Peter are the eldest and third respectively of six children born to Trevor and his wife Jane. Growing up in a big family was fun and they get on really well with siblings Sophie Estelle Dominic and Yvette. In spite of growing up on a busy farm neither harboured dreams of working in the agricultural industry. They both had stars in their eyes and a talent for drama from an early age. Peter was a successful performer from a young age training at stage school in London and performing in his first WestEnd show at the age of 12. His career continued until last year with his credits including Mamma Mia Chitty Chitty Bang Bang and Singing in the Rain. As a kid I went to train in London and got jobs in shows. For a kid that was magical I was living my dream. But I came back to catch up on my vocational education he explained. Unlike their peers among Jersey s young farmers Catherine and Peter chose drama school over agricultural college both attending Arts Educational in London. For seven-and-a-half years after leaving school Peter s world revolved around performing and theatre. After a two-week stint in TV soap Hollyoaks Catherine took her performing talents to Australia for five years working in PR for a children s theatre in Melbourne until her visa ran out. She was back in London to direct a show when We all face major decisions in our careers. Do I take this new job or stay where I am Should I take the plunge of going into business for myself Is it time to change direction completely and retrain It s these big decisions that tell us most about our values our ambitions about who we really are. It is the moment at which our past and our future slides apart. she realised it was time to go home. I realised I wanted to live in Jersey and not London anymore. I came home two years ago and began work on the farm she said. Her brother followed last September I was working in the West End and I was continually running out of money because living in London money just seems to fall out of your pocket. I was also getting engaged to my fianc Rebecca Lee and we decided to move back to the Island. Dad wanted to take a step back from the business and we were coming back so I had a chat with Catherine and we decided we would like to take over the business. The biggest change was moving from working nights to mornings. No more leisurely lie-ins for either for them. Nothing can beat getting up early in the summer when the sun is up and shining but doing the same on a cold dark winter s day is another matter. Catherine said We start really early with first deliveries out by 6 am and the rounds carry on until 11.15 am and then that s it. Then we start to prep for the morning. They supervise and work alongside 17 staff and it s a hectic schedule judging by the large volume of calls that came in as we chatted in the office as staff also wandered in and out. The first shift arrives for work at 4 am and the others including Catherine and Peter arrive an hour later. There is even a night watch to check for orders sent by chefs when they finish their service. Although Trevor is taking a back seat Catherine and Peter don t want him to disappear completely. They still have so much to learn. As Peter said We ve been quite clear that we don t want him to disappear we want his support but like any farmer he s been working 12 hour days as standard and having six kids I don t know how he managed to do it. Us coming back was not just the opportunity to secure the business it was the opportunity to give Dad the rest he deserves. Trevor built up the business single-handed using the personal one-to-one touch with no sales or marketing staff as that was the way it was done then - but his children are going JUNE CONNECT 39 40 CONNECT JUNE SLIDING DOORS to embrace technology and social media although after two years customers have got used to Catherine answering the phone. Trevor s business legacy to them is a large investment in solar panels - the biggest solar installation in the Island and they think the Channel Islands. More than 130 panels have been fitted to the packing shed roof to power the coolers for pumping water and for power in the farm shop. Over the first weekend last month they generated 80% of the farm s power needs. It is all part of the siblings plans to make Homefields a green and sustainable business. We are quite keen to run the business sustainably by making it greener and we d like to have wind turbines to harness the coastal winds we get around here. We want to reduce our carbon footprint as much as possible and Dad is looking into bringing in electric vehicles to do the deliveries. Once they have finished the deliveries we can be charging them using the energy we produce on the farm he said adding What we have installed can generate 80% of our energy for the business and the shop. We also want to tighten up so we are getting a monitoring system to look at where we are losing energy so we can get as close as we can to producing 100% renewable energy. But it isn t all about going green to save the planet the Le Bruns also plan to promote fresh local produce when it is in season to parents and chefs and to let them know what is available day by day. A sort of re-education programme to get Islanders buying what s grown on their doorstep - instead of imported produce that arrives in Jersey with thousands of food miles and a hefty carbon footprint. The farm shop has a loyal clientele that keeps coming back and the wholesale business supplies more than 200 customers restaurants hotels pubs supermarkets and small retail outlets around the Island. All crops are grown in poly tunnels and glasshouses and the farmland is used for growing Jersey Royals by Jersey Royal Company. Peter said We are passionate about local produce and want to encourage Islanders to buy more of it it may cost a bit more than imported veg but it is more We are quite keen to run the business sustainably by making it greener and we d like to have wind turbines to harness the coastal winds we get around here. nutritious and health beneficial because it is fresh and can be picked and eaten on the same day when it is in top condition. Moreover they want to capitalise on the move to become more health conscious and if we are all going to have to eat our now seven a day then why not buy local A quiet revolution may have occurred out of sight on the shed roof but this energetic and enthusiastic pair are biding their time. We re just carrying on as we ve been doing going as green and self-sufficient as possible as the business is growing all the time said Catherine as Peter followed on We have no radical plans at the moment we are just looking to grow the whole business. Jersey s agricultural industry may not be the economic powerhouse it was but the Le Bruns are confident of the long-term future of the business and the agricultural industry. And as Peter said before the demands of the working day dragged him away We want to make the best of it for Dad. My only worry is that supply marketability will take away from the farm shop. So we have got to do as much as we can in the Island to get the young to shop in farm shops and buy what is being grown in the Island. JUNE CONNECT 41 Connect s insider in the finance industry sits at a desk somewhere near you. He s unspinnable unbiddable and very strictly anonymous. Don t expect marketing speak don t expect a rosy feeling inside and don t expect to like him (we re not entirely sure about him ourselves). Only expect this every month he ll bring you the unvarnished truth from the heart of the finance industry... Irrational Exuberance Dragging oneself back to the day job after the Easter break the Fool was filled with wonder at the power of resurrection. As one who long ago sacrificed his soul to the deity we call mammon the cause of this rapture was not it has to be said an event which occurred 2000-odd years ago - but a much more contemporary miracle. The Government of Greece the poster boy for fiscal irresponsibility and financial collapse whose default in 2012 resulted in holders of their loans losing over 100 billion had managed to return to the markets issuing new debt finding sufficient buyers to lend the Government an additional 3 billion to be repaid in five years. (On top lest we forget of the 250 billion it still owes). For a country with unemployment at 27% and an economy that continues to shrink at a rate of 5% per year the market s willingness to lend anything at all was astonishing. Given that many of the buyers were no doubt the same investors who had lost 50% of their clients money in similar assets only two years before have we really learned so little or does the maxim Catch me once shame on you. Catch me twice shame on me no longer apply to the supposedly best and brightest in the financial world Even more confounding given the apparent risk associated with this investment was the rate of interest buyers of the debt demanded for ponying up an additional 3 billion. Yields on the government s previous debts had spiked to over 70% in 2012 so surely 20% even 30% would not seem unreasonable given the apparent risks involved and lack of improvement in the country s fortunes since No. The rate of interest was 4.75%. Or only about 3% more than the UK or US governments could borrow at for a similar term. The reasons for this apparent skewing of potential risk versus potential reward are two-fold. Firstly interest rates - and thus bank deposit rates - in the Western world continue to be the square root of not very much. In this environment achieving any sort of positive return without taking undue amounts of risk is pretty tough. (Despite the promises made in the brochure that nice chap from the bank is dangling in front of you). When your risk free return is nothing 4.75% might look pretty tempting. But secondly and much more importantly the country s membership of the European Union effectively makes the financial promises of the Greek government the combined financial promises of every other EU nation. Hence the rate of interest is cheap because the loan is backed not just by the labours of the Greek people but by the tax payers of the much more fiscally responsible nations such as Germany or the Netherlands who wittingly or otherwise find themselves on the hook for another 3 billion from which it is a little difficult to see how they derive any direct benefit. (Although interestingly Greece recently passed a law reducing the VAT on food from 23% to 13% so I am sure Klaus and Johannes are delighted for the people of Athens that their tax burden is being lowered). This implied guarantee has also had a remarkable effect on the rates of interest paid by other EU governments who whilst not suffering from quite the extent of the Greek economic malaise are far from paragons of fiscal virtue. Ireland - unemployment DEFINITION The Fool A privileged position held at an ancient king or queen s court the fool was not taken seriously by the high and mighty but was the only person able to speak the truth to power. The Greater Fool Theory The belief held by one who makes a questionable investment with the assumption that they will be able to sell it later to a greater fool . 42 CONNECT JUNE 11.7% debt to GDP ratio of 124% - can borrow for five years at 1.25% Italy unemployment 12.7% debt to GDP ratio of 133% - can borrow at 1.7% and most startling of all Spain - unemployment 25.3% debt to GDP ratio 94%) at 1.61%. But hold on. Whilst the backing of the EU is indeed substantial and it s great that the interest burden on Greek people is lower than if they had to borrow independently is this the same EU which stood by whilst the country drove itself to the edge of ruin over the previous 12 years and signed off on stuffing holders of Greek debt with 100 billion of losses in 2012 How is that 4.75% - or indeed 1.25% or 1.7% or 1.61%) looking for you now The continuing low interest rate environment is forcing investors to make some strange decisions. Earning less than 2% for lending your hard earned to the likes of Ireland Italy or Spain for five years seems like a pretty lopsided bet. Whisper it quietly but perhaps if that sort of cash is available to governments with credit ratings far below that recently granted to Jersey it s a fair assumption our borrowing costs could be even lower. I would readily march out of the door anyone who couldn t come up with some sort of investment scheme which didn t return more than 1.5% per year for the next five years. Esplanade Quarter anybody Debt to GDP data shows how indebted a country is relative to what it produces in a year. The higher the number the less likely the country is to be able to repay because of the percentage of tax revenue spent on debt and interest repayment. Responsible countries such as Australia (32%) Canada (38%) and Sweden (40%) spend less of their tax revenue on repaying debt and consequently have more money available for constructive spending. Photography by Gary Grimshaw 44 CONNECT JUNE N O O R D I N A R Y DAY J O B No Ordinary Day Job. It s online crime time How to combat cyber-crime is keeping policemen the world over awake at night - and Jersey is no exception. As Ben Qu r e discovered Bob Russell an experienced police investigator now employed here as a civilian specialist and James Le Couillard a civilian internet investigator are on the frontline of this new area of policing. The pair agreed to be interviewed by Connect and for their names to be used in the article but understandably asked for their faces not to appear in the magazine. In April the independent inspector of police forces in the UK published a worrying report. There was a certain type of major crime said Her Majesty s Inspectorate of Constabulary that just three out of 43 police forces in the UK had a plan to deal with. In 37 forces just 2% of officers were trained in dealing with this particular kind of crime and the report concluded that the ability to deal with it was largely absent in some forces. Furthermore it found that this particular type of crime was significantly under-reported that there was wide confusion about whose remit it fell under and there was much more work for police forces to do before they had firmly got to grips with it. The message wasn t a new one in November 2011 David Cameron said that this kind of crime cost the UK some 27 billion per year and President Obama has called it one of the most serious economic and national security challenges we face . What they re all talking about is cyber-crime and it is something that is affecting us right here in Jersey in the same way that it s affecting countries around the world requiring law enforcement to develop not just new skills and new tools but also new ways of thinking. One of the complicating factors with cyber-crime is that it requires a different approach to normal policing. Cyber criminals and they re increasingly well-resourced sophisticated gangs rather than bored or politically-motivated bedroom hackers operate without regard to cross-border jurisdictional issues. And that throws up its own quandaries a Jersey person s data might well be sitting on servers in the US and China but if it s stolen by identity thieves working out of Russia who s going to go and get them And how And where was the crime committed And where s the trial going to be held The issues don t stop there because in today s age of smartphones social media and increasing CCTV surveillance there is hardly a crime that doesn t have a technological element to it. Whether it s looking at CCTV footage to establish where someone was at a specific time going back through phone calls and messages to establish a relationship between two people or tracking a missing person through social media there s an enormous amount of information out there that s of potential benefit to the police if they know where to look for it and if they know how to use it. In Jersey two of the people on the frontline of this new area of policing are Bob Russell the Hi-Tech Forensic Supervisor at States of Jersey Police an experienced police investigator now employed as a civilian specialist and James Le Couillard a civilian internet investigator who came to the police from working in IT for a local law firm. Bob says that their role is a hugely varied one because almost every crime including for instance the recent murder investigation has a tech element to it. He said The Hi-Tech Crime Unit JUNE CONNECT 45 N O O R D I N A R Y DAY J O B has forensic investigators dealing specifically with technical areas of data recovery and retrieval. We are reactive in lots of ways but we also have a proactive investigatory arm. Generally speaking once crimes have occurred devices phones computers cameras laptops are seized and investigated for specific data relating to that investigation. We also need an online presence and that s where James comes in. As it stands we have one serving police officer on the team and the rest are civilians however some of us have police investigative backgrounds. I for instance have completed 30 years in the police and following several years in the private sector ended up as a civil servant in Jersey. It would be fair to say that just about every crime has a high-tech element to it or at least that it s a potential area that you need to consider being investigated. I enjoy the whole scenario of technology moving forward and the changes that it brings. I said to James when he first came here what an opportunity it really was to be involved in developing something new I d love to be in a position start over again and take on his role. The office that the unit works out of is about as far from Jack Bauer 24 fantasies as it is possible to get and there s an important point in that. There is an increasingly prominent debate about intrusion and privacy in the online sphere one that s taking on a more global character since the Edward Snowden NSA revelations about what governments and secret services get up to. We are used to watching TV spooks hack into online files alter digital images create new identities or steal old ones take over private security feeds basically do an astonishing amount of illegal things at dazzling speed. The reality of what goes on in a pretty dingy office in the old Summerland site (and a visit there would leave you in no doubt that the police need a new headquarters) is far more prosaic there s no walls of video screens no hightech equipment no climatecontrolled banks of servers. It looks like a normal if slightly shabby office in any building in town. James says that it actually goes further than that they don t use a huge amount of specialist software in fact his work as an internet investigator involves nothing that you couldn t download for free on your own computer and in most cases it s nothing more complicated than a simple web browser. He said A lot of the work that I do involves social media aspects as well as investigations into various websites and they will often require me to find any more information. A lot of the work that I do is web-based and often people do not realise what sort of information they leave behind them online as a digital shadow. A lot of the work that I do involves social media aspects as well as investigations into various websites and they will often require me to find any more information. A lot of the work that I do is web-based and often people do not realise what sort of information they leave behind them online as a digital shadow. 46 CONNECT JUNE And then we have to consider all of the Twitter Facebook and Instagram accounts. They will sometimes have a little bit of information that might provide the link between an incident and a person. It can be quite varied in that sense. None of the standard information that I am looking around and trying to find out about is hidden in any way. Going to that level would require far higher levels of authority and in any event it s not really moral or ethically correct to snoop on peoples private accounts online. Bob quickly leans in to point out that the police are bound by law in this area the Regulation of Investigatory Powers Law governs very clearly what the police can do and what they can t and there are very clear regulations and guidelines. We do not want people to be under the misconception that we would look into their Facebook account and read their messages we can t do that he said. And James takes up the point saying that in any event there is an enormous wealth of publicly available information online before you start needing to dig deeper. If someone has set their profile on Facebook to private so we cannot see their timeline or friends then I can t see it. It s no different for me than it is for anyone else. Police Chief Mike Bowron certainly sees the significance of this kind of policing he s recently done a course on cybercrime and has ordered every one of the force s 240 officers to complete it too. The States of Jersey Police deals with an enormous variety of issues from petty crime to enormous financial frauds and from missing persons to murder inquiries each one of these areas may have a technical aspect to it. Bob says that at the commercial level the police are building up a level of trust with businesses over reporting issues it s one thing for a company to report a hacking attempt or security breach to the police but if the information were to become public it might make customers and potential customers think twice about trusting that company with their money and data. It needs trust he said. It needs a secure reporting structure. Financial institutions have their own investigations and there is also the Joint Financial Crimes Unit who both receives reports and also has clear lines of communication with the business community. It would be naive to think that Jersey was not the same as everywhere else in the world and for us not to be aware of the threats that we face. For instance if a business is under cyber-attack and they believe the attack may be traceable they can pass that information on to us for further investigation. It may be that other businesses are having a similar issue or problem and that may help us to build a picture and allow us to focus our resources. We can then issue guidance to people whether it s through the media or a going directly to businesses and saying we are aware of this and JUNE CONNECT 47 N O O R D I N A R Y DAY J O B here is what you need to do . Equally as a source of information on missing person investigations social media is a useful tool. It can be intimidating for young people to pick up the phone to the police or talk to a uniformed officer but they might feel more comfortable communicating by Facebook or Twitter. James said For missing person s investigations we can look at social media to monitor what is being said about that person and people may even communicate directly with us. It might have taken three or four hours to obtain the information previously or the police might never have found out about the person with the relevant information. It s useful in all sorts of ways. That can mean investigating either people or places and trying to find out from peoples Facebook or Twitter accounts about where they are and where they have been and what they have seen. When I grew up computers didn t become commonplace until I was about eight or ten and my exposure to it was far less - now kids are growing up with it they re learning about iPads from as young as two and able to do basic programming from five or six. This shows how society is changing and technology is playing a bigger part. There is also the difficult and sensitive area of child sex abuse images what used to be commonly called child porn which can require the police to spend time looking through graphic and distressing files. Although some of the work is done through scanning software that identifies abuse images that have previously been seized someone still needs to sit and look through some horrendous images to build up a case to go to court. Bob said It s a necessary evil unfortunately. How do you deal with it It s an area that we have to be very sensitive about. It s not pleasant having to sit and look through images. We have developed technology to assist so that avoids us having to spend hours and hours looking through it all. Each file has a digital fingerprint so you often can run software through a folder and it will pull out known images but then there is always new stuff out there. The welfare of people who look at this type of material is very important it is something that we are very mindful of. Fortunately that s a small element of the high-tech unit s work. But defining the work of the unit or even the way that they go about that work is made more complicated by the fact that technology moves very quickly and so the role and the tools have to move and change with it. James said I can understand where I am now and where things are likely to be in the next couple of years due to rapid technology advances but beyond that its hard to visualise and this applies to looking for data as well. Go back to a Windows 95 computer where everything was deskbound if you wanted to connect a computer to a network you had to use a wire. So if the police went to search for the data they knew where to look. Now there are phones tablets headsets SD cards the size of storage available and the places that you can do things is growing so quickly. Last week I spoke to a member of the public who had a concern about her email account and so I was just providing advice on that to try and see if I could help and alleviate her concerns around any issues that she may have felt that she had. I would not say that is overly regular but if people feel that they have major concerns about something that has happened we want them to report it. We can t guarantee we will always be able to do something about it but we need to know what s going on. ...if a business is under cyber-attack and they believe the attack may be traceable they can pass that information on to us for further investigation. It may be that other businesses are having a similar issue or problem and that may help us to build a picture and allow us to focus our resources 48 CONNECT JUNE iSPY Welcome to iSpy a new columnist whose role is to observe and comment on those who normally do all the observation and commentary the media. Nothing is sacred from their seat in a local newsroom iSpy will be turning skeptically through the pages of Connect and Bailiwick Express too as well as the work of agencies and the chatter on social media. Flagging down the media You d almost think there was an election looming as politicians line up to do very populist things and make sure they get their disproportionate share of newspaper column inches online pixels radio airtime and TV pictures. The one iSpy loved was Senator Philip Ozouf going overboard about getting a Jersey flag flying outside an anonymous UK government department building in London on Liberation Day. As literally dozens of people meandered past the HQ of the Department for Communities and Local Government in Whitehall literally none of them stopped to gaze longingly at the Jersey flag. If the motive was about spreading awareness of the story of the Liberation fine... but when the Treasury Minister spent Liberation Day touring national news outlets in the capital trying to get them to cover the story (they didn t) you wonder what s really going on. Re-arranging the deckchairs Word reaches iSpy that the latest media outlet to get a rebrand in Jersey is the good old BBC. Last year Channel Television became ITV Channel TV with a new studio set and corporate graphics that matched the national news. The JEP is clearly acknowledging the 21st century has been around for a while and is - finally - grasping the opportunities that social media and online offer - and BBC Channel Islands television news got new opening credits and a bigger TV in the studio a few months ago. Now it is BBC Radio Jersey that s giving the dice another roll in an attempt to convince Islanders it s worth tuning in. It may have all come to pass by the time you read this but we understand their breakfast show is being rebranded Good Morning Jersey and Matthew Price is getting a female sidekick. It is all to brighten the presentation make it much engaging and to breathe new life into their flagship show. The bottom line is to try and attract some new listeners as audience figures have been on the slide for years. iSpy wishes them well. Matthew and his sidekick (who we won t name as it may not have launched by the time we go to print and so will still be a bit of a secret) are both jolly nice people and they ll likely do a very good job of things. But iSpy does wonder whether the bosses are missing the point. A recent news bulletin led with news about a woman who took a different journey home so she didn t have to drive past a tree that was being chopped down (she was distressed by its felling). All interesting stuff but surely way too far the wrong side of parochial Disillusioned iSpy hopes youthful new politician Deputy Sam Mezec sees this column and takes the following in the spirit it is intended. Sam stop tweeting such cynical negativity. You re better than that. Or at least we thought you were. During each States debate he s tweeting a commentary that reads like an immature rant. For somebody raking in around 4K a month off the taxpayer we expect a bit more of you. You have the potential to be a star of the next generation in politics a beacon of hope and optimism for the left. At the moment you re adding to the reasons why people are disengaged and disillusioned by the island s political system. Be part of the solution Sam not the problem. If you re a journalist iSpy wants titbits from your newsroom if you re in the headlines iSpy wants the inside track of your media encounter if you re a reader viewer or listener let iSpy know if you ve stumbled across something that s worth sharing. Email in confidence to ispyjersey JUNE CONNECT 49 GLASS HALF FULL The last few years have been something of a perfect storm for local retailers. If you combine the impact of recession on their customers spending power with the growth of online shopping it s been a sector with little in the way of good news. It appears that the internet has fundamentally changed the way we shop with customers using it to compare prices and variety against physical retailers despite the obvious difference in cost-base and buying power which separate the two. How can a local shop compete on price or choice with Amazon whose UK warehouses alone would cover the whole of the Parish of St Clement But some retailers have been able to use the internet as an opportunity rather than a threat and several local websites have started offering Jersey shops the opportunity to sell their goods online. The latest is which was founded by Anna Hughes. She explained to Connect why her glass half full would be purchased online is a stylish and fun online shopping experience where local retailers people working from home and students can showcase and sell a huge range of products. is set up so that customers can search by product or retailer search for gift inspiration create a Wishlist compare products from lots of different Sellers and order personalised items all online. Glass half full with... You will find some lovely new companies you haven t heard of as well as established brands but they all share some key characteristics quality customer service and originality. You will be pleased to hear that this selection doesn t necessarily come with a hefty price tag. The prices on Anina are the same as in the shops and while we are confident that everything on the site looks great that doesn t mean it is expensive. The ranges available are varied and there is something for everyone from gifts under 15 to designer corner sofas. ANINA.JE of buying online or purchasing an item in store. The principal aim of Anina is to support local businesses and so far the feedback has been really positive with sales in stores generated purely from having an online presence on Anina. Items do not have to be made in Jersey but all are available from local businesses people. Anina is a Genuine Jersey Sponsor but it was decided that to assist local Sellers to the maximum extent possible the product range had to be wider. You can filter products to look for Genuine Jersey items and search the Jersey link at the top of the page for items that specifically feature Jersey or a Jersey landmark. Anina may be a shoppers paradise but it is much more than that. Anina will be supporting various charities allowing students to exhibit and sell their work arranging pop up shops and events to promote the work of its members and will provide members with the assistance they need to sell their goods around the world . It is a real privilege working with so many inspiring independent retailers so it is really important to represent them all justly and to let the public know what is on offer right here in Jersey. It is hugely important to Anina that people can browse online at their convenience then either buy directly from the online shop or use the information on Anina to find the Seller. Customers have the choice 50 CONNECT JUNE P O L I T I C S O Connect s political columnist Ben Qu r e spent far far too long covering the States during his 13 years as a noted news reporter and commentator. In Here s The Thing... he takes on a key subject each month drawing on his experience knowledge and contacts to lift the lid and stir things up If you want to contact Ben Qu r e please email ben bailiwick ne of the very few genuinely interesting political stories in the UK of the last few months has been the beginning of the end of Ukip. The anti-establishment party that branded itself as the scourge of Westminster sleaze has been exposed for its own abuse of expense allowances the racist and bigoted views of some of its candidates have been pulled out from behind the barely-sanitised glossy election material a much-hyped local election resulted in precisely zero councils under their control and their chief jester bottle the chance to take part in a winnable by-election. Pretty much all that remains is the economically illiterate central tenet of taxing less and spending more coupled with the idea that pulling out of the EU will result in some kind of economic boom. Still good thing we don t have that kind of nonsense about immigration here right Here s the thing. Sorry. We re just as bad. Population immigration is the biggest political issue for anyone outside of the States for that reason it is the issue that politicians have been very carefully avoiding for the last ten years or so. More than three-quarters of Islanders polled through the Social Survey were fairly or very concerned about immigration with more than half of over-55s (aka voters ) describing themselves as very concerned . But they are just the voters right What about the States Well they set a target of 325 for overall net immigration (that s the number arriving minus the number leaving) back in 2009 which sounds a bit like a policy. It wasn t one. The year before the number had been 1 100. The year before that it had been 1 400 that s 430% of what they were now aiming at. In the four years after the policy was introduced the average figure was 575 which is just 176% of what we re still laughingly referring to as a target. You can think 325 is too little or too many that s up to you. What you can t do is look at all of those numbers and think that the States a) had any real interest in having an actual immigration policy or b) the power to stick to a policy if they had one. But the point is that we haven t got a handle on this. The suspicion has long been that this state of affairs suits the political types in charge because they don t want one. A few months ago a new system was brought in with all the appropriate cooing noises from Cyril Le Marquand House about the awesome new powers the real-time-data and the dynamic controls that it would enable. That system s introduction had to be delayed because the States hadn t sorted out the IT properly which should have been a bit of a hint about what would happen next. Which was Literally the moment they started the new system up the website that ran it crashed. It is working now but the Stats Unit have told the Chief Minister s department that they re not using the data 52 CONNECT JUNE from it because they have no confidence in it. Not just that but it s turned out that some States departments have stopped using the figure anyway and started assuming that the population will grow by 500 instead. To put it another way not even States departments believe this rubbish anymore. And that brings you all the way up to last month s debate in which Chief Minister Ian Gorst (who like the barest possible majority of the Island s population wasn t born here) said let s stick to the 325 target for another two years while we get a proper policy together. Taking on the only issue that people actually care about by embracing a clearly failed policy (less than six months before an election) is what Sir Humphrey might have called bold in fact some of his ministerial colleagues were less diplomatic in their descriptions of the plan and begged him not to do it. He did it anyway and got a result with a 25 to 20 vote in favour that was far from certain and which looked quite unlikely at various points. Job done he s brought himself two years to square the circle and try and have a sensible debate with a population that is both mostly-not-born here and also implacably opposed to further immigration. Here s what else he s up against in the States debate last month Deputy Geoff Southern tabled an amendment to drop the target from 325 to 215. Bear in mind the real number is 575 in a recession and anything up to 1 400 when the economy is doing well. Southern s amendment carries the kind of logic that says we all know this is a fantasy anyway so let s at least make it look good But there was at least some light at the end of the tunnel. Deputy Steve Luce got a bit shouty during the debate and pointed out that the States would be hypocrites if they voted for a policy that they knew wasn t going to work and a target that they knew that they weren t going to meet. Marvellous stuff. He s right of course. Adopting a failed policy when you don t really have the tools to do anything about it is pretty hypocritical. Now guess how he voted when the debate was over two days later. Yep he voted for it. In fairness to Ukip and I can t believe I ve written those words they re a bunch of no-hopers a bunch of slack-jawed fantasists who are either a) stupid enough to believe their own hate-filled tripe or b) cynical enough to prey off the very worst in human nature by blaming the world s problems on a bunch of foreigns . But they re not politicians. They re wannabes campaigners and demagogues. We ve got 51 professional politicians they re paid decent money to do the job and deal with big questions but what we get back is almost Ukip-ian levels of inane nonsense about immigration. Senator Gorst has brought two years to try to introduce some reason and sense to this debate. JUNE CONNECT 53 A fresh perspective My Secret Life. There s one thing that we in Jersey are not good at snow. We all know the ensuing chaos the white stuff brings to the island and so it was no surprise that when a Downfall parody video featuring Chief Minister Hitler and the Council of Ministers dealing with a snowed-in Jersey appeared it quickly clocked up tens of thousands of views. You might be surprised to hear that the man behind that video is a lawyer and he also has other strings to his bow such as setting up one of the island newest political websites. Gwyn Garfield-Bennett went to meet Christian May. As Jersey came to a halt last March those who were house bound were treated to a light-hearted video that parodied Jersey s response to snow. That video and its follow up have now received nearly 100 000 views on You Tube and it s all down to a 29 year old lawyer Christian May. Christian is from Jersey but qualified as an English barrister and started work with Baker Platt now Baker & Partners around 8 years ago as a legal assistant. It wasn t long before Christian was offered the temporary role of Business Development Manager after he started two new schemes for young lawyers. I was concerned that there was nothing in our schools for young people to learn about advocacy so I discussed it with the firm owners and they said go and do it. Our youth advocacy competition is now in its seventh year and we ve had around a thousand students go through it. All of the firms get involved and we have the final in front of the Bailiff where they conduct a criminal trial actually getting to do it in practice. It s fantastic we get to see the young advocates of the future. Next on his agenda was a bursary scheme which has seen several young talented lawyers go through the firm. Christian has now been doing the temporary role of Business Development Manager for nearly six years. The biggest challenge for me is that it can be difficult to promote the firm because we are viewed as a criminal law firm. We have taken some high profile cases Steven Baker represents Curtis Warren Julian Gollop defended Damian Rzeszowski but that s only 10 percent of what we do. We are litigation lawyers and do a lot of civil fraud and asset recovery for example we recently represented the government of Brazil who were trying to retrieve money secreted in Jersey by a corrupt mayor of Sao Paulo. We helped recover 33 million which was great because we were helping a developing country get money back that had been taken from its people. Last March Christian had an email saying there was no point coming in to the office because of the snow I was just sitting there looking at Facebook and social media and I thought I can t look at another status that says it s the end of the world or I can t get down to M & S or the schools won t open for two days so having seen a Downfall parody before I adapted it to Jersey. It wasn t meant for mass consumption I literally put it on my Facebook page and then a couple of friends shared it. By that night it had got up to two thousand views and the counter stopped. I thought nothing more of it and went to bed. By the morning it was still snowing and tens of thousands had watched it. You hear about the power of social media but I m not aware of anything else going viral on the island so quickly. My only concern was that I had Hitler swearing and my language isn t usually so coarse. I was dreading my mum watching it but she just laughed. It is so easy to define a person simply in terms of the one frame through which you meet them but does the job that we do today really cover all that we are - or have been Even in a small community like Jersey you can find a wealth of interesting histories hobbies and experiences sitting just beneath the surface of the person you thought you knew so well. It is those stories that we will be telling in this new series of features My Secret Life. If you know someone who shouldfeature here please e-mail editor bailiwick JUNE CONNECT 55 So can we expect more videos Christian says he wouldn t say never but it would have to be the right topic. It s something I have ticked off my bucket list now. Whilst parody is the lighter side of his political interests there is a more serious side also. Christian has recently set up a new website The mission for this online community is to engage and build the political power of young people in order to achieve progressive change in the island. The parody wasn t Christian s first foray into satire. I did a couple of political satire cartoons at University and I d had an anonymous blog over here for a few months which was a side look at Jersey politics. In Guernsey they have a political satire news site that is very funny but there is nothing much satirical here. I think it s a healthy thing to have because it gets people to have a slightly humorous look at politics and can keep politicians in check. To have politicians who can take it on the chin and laugh when they are being parodied is quite healthy whereas there are some who don t. The Minister of TTS Kevin Lewis apparently circulated the video to his officers with a note saying don t worry we ve been to Waitrose and got the salt which was great it wasn t meant to be offensive it was meant to be a comment on how islanders deal with things. Jersey does have a slight tendency to panic when the first snow flakes come out. So can we expect more videos Christian says he wouldn t say never but it would have to be the right topic. It s something I have ticked off my bucket list now. Whilst parody is the lighter side of his political interests there is a more serious side also. Christian has recently set up a new website The mission for this online community is to engage and build the political power of young people in order to achieve progressive change in the island. He wants it to be an independent platform where people can put across their viewpoints. Other political blogs are written by people who have very strong views about certain issues and have certain political leanings. My concern is where these switch from well thought out political concern to some which are insulting not satirical but direct attacks or conspiracy theories and that detracts from what is important. The States has just spent three days debating their own performance and the Chief Minister s powers but people want to know do I have a job a place to live and will my children be able to go to a decent school. I do wonder if these political bloggers and those within the States create some sort of detachment where they end up being focused on what they see as important and not necessarily on what people are concerned about. I have been on some of the blogs and if you don t agree with their position then you get a vitriolic response and called part of the establishment or far left or far right. Change. je is apolitical it s an open forum and anyone can come and discuss on the site and we will publish opinion pieces as long as they explain their stance and the issues. It has to be issue based not personality based. Christian s enthusiasm came in part from former Senator and Jersey Advocate Chris Lakeman who died in 2010. I met Chris when I was 17 and he is one of the main influences getting me interested in both politics and law. He was an exceptionally able man and when he retired from the States to concentrate on his legal career it was a big loss. He was never rude or abrasive he had his viewpoints and could articulate them and could put his argument strongly but it was never with vitriol. He was my mentor through University and a good friend and I would like to be involved in the States and possibly stand because of him. If Christian does decide to stand for the States in the next election there is a good team behind who he will hand over to I wouldn t want my personal political views to skew the work that does so the team we have in Jonathon Pugsley James Rondel and Joe Mayes are very talented and dedicated to moving forward. The final job on Christian s Twitter profile list is trustee and that s because he s recently become a Jersey Heritage Trustee the youngest they have and possibly the youngest ever. It s a very exciting time there s lots of work going on with the coin hoard which has something like 70 000 items within it. It will be fantastic for tourism and education we should be taking students to see it for historic significance as well as from the scientific and archaeological perspectives. Behind the satirical video is a man who is clearly passionate about engaging young people in island life and politics in particular. The fact he is also intelligent and has a sense of humour can only be a positive for him as well as us. 56 CONNECT JUNE JUNE CONNECT 57 MUSINGS OF A MARKETER Fifa World Cup 2014 TakeplaceinBrazilfrom 12th June to 13th July 64gamespackedinto 32 days Game On Connect s Marketing columnist Sam Watts has been committed to all things marketing and brand for more than 20 years. Founder and director of Channel Islands communications agency Orchid she is passionate about the power of communication. So the World Cup 2014 is here. This month I will follow my beloved Frank Lampard and his teammates to Brazil displaying all the positive traits of a devoted England fan and sharing in the heartbreak or hopefully the triumph of our national side wearing my red white and blue wardrobe with pride I may even get reckless with the face paints As the distant beat of Samba gets louder and domestic football seasons around the world blow their final whistles we ve inevitably turned our attention to the big kick-off in Sao Paulo on 12 June. The thing is it s not just about the football. Just like the Olympics and Super Bowl the World Cup is undeniably a big opportunity to promote your business. But how on earth do you get your voice heard during this beat-fuelled period when all around you competitors are shouting loud and furiously With the big brands combined spend on sponsorship fees exceeding 1.6 billion (source IEG) and countless other household names planning tactical integrated campaigns in the run up to and during the 32-day tournament the stakes are certainly high. Just like the beautiful game it s never over until it s over and you have to keep looking for ways to score a winning goal right to the end. Host nation Brazil with its carnival atmosphere and blazing sun has laid the perfect pitch for the marketing game. Of course remember you have to be careful with the wording and imaging of your campaigns to not break FIFA rules. Don t pick up a red card for using World Cup logos for example but there are still countless ways you can align yourself with one of the biggest sporting events on the planet from general themes around sport colour and music to dance and food. When you are planning your game strategy be bold and adventurous your fans will love you for it. Why not plan voucher campaigns to celebrate an England win (patriotism scores highly) or a commiseration campaign for when they get (penalty) kicked out - come on you know it s going to be heartbreaking Buy one get one free (BOGOF) deals limited discounts free delivery and special offers can all be timed to coincide with specific matches or for the duration of the tournament. I don t know if Sepp Blatter goes to Specsavers but the Guernsey-based company owned this space with the launch of a series of ads promoting the need for goal-line technology after England s controversial loss to Germany in the 2010 World Cup - my beloved Frankie at the heart of the 5 760minutesoflive marketing opportunity 32countriescompeting including England England sopeningmatchis againstItalyon14thJune Goal-linetechnologywillbe action again used for the first time in a Why not host a World Cup Final Brazil-style event Thankfullyneitherthe for clients staff and Brazilian Caxirola nor the associates to get into African vuvuzela will be the mood Samba allowed inside the stadiums beats bright colours FollowonTwitter- and dancing are the fifacomclub order of the day. Jointheconversationon If you re not a fan Facebook at fifaworldcup of the three lions host themed events promoting the teams playing against the England boys that s Italy (14 June) Uruguay (19 June) and Costa Rica (24 June) if you were wondering Or you could use the euphoria that will be generated by the tournament to launch a scheme to support football at a grass roots level locally either in schools or training academies building stronger and better lions for future tournaments. Retailers are already cashing in on the opportunities with football mad fans looking to buy new sofas TVs laptops broadband services and even fridges in the run up to the opening ceremony to ensure the ultimate viewing experience. Even though matches will be screened out of hours our time with most games starting at around 5 pm BST there is also a risk of World Cup fatigue the exhaustion that creeps in after over-indulging in TV coverage nachos and beer until the wee small hours and that could lead to a sickie. A recent Yume survey found that 16% of employees intended to call-in sick during the event with the number increasing further if England progress to the later stages. Be prepared to deal with this by having a really pro-active internal communications plan in place a clear and fair policy that balances your need to run a business with the desire to keep up-to-date with match scores. Consider flexible working anticipate last-minute leave requests and if you run a business where staff work outside of normal office hours boost motivation with screening of key matches on radio TV or online. The next time I write it will be interesting to see who has come out on top in the World Cup marketing goal-mouth scramble for glory. My favourite tactic so far It has to be the air freshener brand that is bottling the smells of competitor countries so that you can recreate the whole match experience right in your living room Come on Ingerland . Bring football home.... If you have a question for Sam please e-mail sam bailiwick D E A D LY D I A R Y The States 3 June So lots of backbencher propositions on compensation for defrauded investors reviews on whether States tenants should have to pay for their own carpets various inquiries on Coop Planning disasters and an alleged plot to force RBC into moving to the Waterfront you d almost think that there was an election coming up wouldn t you There s also the final bits and pieces to sign off for turning the Housing department into a Statesrun company and an agreement on the Food Costs Bonus that was set up to protect those between the benefits and tax thresholds from the effects of GST. Basically at this point in the election cycle these maniacs will be saying just about anything that they think someone somewhere wants to hear. Old Harry Truman who knew a bit about elections once said that elections had the same effect on politicians that the full moon had on primitive savages so expect lots of whooping and dancing around - but not so much in the area of positive policy contributions. The States 17 June Nothing interesting here at all to States Members that is. It s more your civil aviation kind of stuff the establishment of an aircraft registry a bit of tax law some intellectual property stuff and a few Income Support tweaks. Actual work that sort of thing. Still DD expects they ll get a few laughs out of it somehow. Exactly how many of them have read the Draft Taxation (Implementation) (International Tax Compliance) (United States of America) (Jersey) Regulations 201- let alone understood it is a question you re best not asking yourself really. Maybe you could ask them when they come knocking on the door in a couple of months. Best not. You ll only upset yourself. Chamber of Commerce lunch Wednesday 18 June Just what everyone needs after The Ashes whitewash a cheerful Australian coming over to tell us how we re doing everything wrong. The speaker at this lunch was originally listed as the excellently named Dick Porter (Chairman of Australian Business) but the suits at Chamber are clearly cricket fans and so there was change of plan. And just to show they did give a XXXX about causing a major diplomatic incident with our antipodean cousins they ve got our very own Foreign Affairs Minister Senator Sir Philip Bailhache instead. Expect some elevating discourse on the benefits of an effective foreign policy to the economy which beats more crowing about the cricket hands down. Retail Sales Index 11 June The Retail Sales Index is one of the few sets of statistics that has survived the new population policy which has fouled up all of the calculators and abacuses (Ed abacii ) at the Stats Unit to such an extent that they ve had to abandon all hope of being able to say anything helpful about the economy or the population in the short-tomedium term. Typically one of the few bits that survives is on the gloomy side of things. In value terms 2012 was a pretty horrible year for retailers with sales down 10% but last year was pretty much flat. In volume terms sales were down around 20% in 2012 and 4% in 2013. Deadly Diary - every month Connect will be flicking carefully through the future calendar of political and business events ...and chewing over what it finds there. JUNE CONNECT 59 THE ADVISOR The doors to justice Over time every system requires review. The legal system is no exception. In recent months there have been promising steps taken to look at the justice system in Jersey with a real intention to try and improve how it operates. Legal Aid was one area that was considered ripe for review. More recently a review group chaired by the Deputy Bailiff William Bailhache was established to scrutinise the Royal Court rules and public consultation on the issue has been invited. However all good things come in threes and so there was room for one more review operation the Access to Justice review. Without wishing to derogate other reviews I consider the Access to Justice Review to be the most important. I think it is likely to generate the most interest because of its very wide terms of reference. In effect everything is up for review. The terms of reference were agreed by the States of Jersey at the beginning of the year and cover areas such as public confidence in the justice system alternatives to formal court hearings affordability competition legal aid and the overall experience of those who have used or attempted to use the justice system in its current form. These are just some examples of the areas under consideration and the full terms are available online for those interested in obtaining fuller information. So what if anything will all of this achieve First I am hopeful that those people who have experiences of the justice system will actually take the opportunity to make representations to the review panel (and I will tell you how to do that later). Time after time whenever I disclose to a person that I am a lawyer I hear tales of an unjust system a system that is overpriced and which therefore slams the doors of justice shut in the faces of many a system which is portrayed to be populated by portly professionals who sip champagne and feast on lobster and suffer from recurring acute gout a system which is antiquated and inaccessible. For some bizarre reason I experience most of these occasions when on board an aeroplane and for that reason now have a golden rule to never disclose my profession on long haul flights. Secondly I hope that after the public has had its chance to make comment the panel will accurately compile a summary of those representations and that the public will read and become informed about the current system. Understanding is key. Following that I genuinely hope that those areas that do require reform are reformed so that Jersey benefits from having a legal system that works and works well and is a model for other jurisdictions. But no review will ever work unless those who have something to say say it. This is a gift to those who have valid contributions to make. So many Islanders have used the justice system at one time or another and those experiences need to be shared. Did you feel that the lawyer you instructed delivered a good service Did you have confidence in their ability Were they suitable for the matter in hand Did you feel that justice was easily obtained If not what were the obstacles Were they financial Were they at the beginning throughout the whole of the process or just at its conclusion when before the courts Do you think you obtained value for money If you felt let down and sought to complain was the complaints procedure appropriate and easy to access Are your issues directed at the lawyers or at the courts These and so many other points are exactly what the panel wants to extract from the public and extract in volume. The chairman of the review panel is Assistant Chief Minister Senator Paul Routier who said I welcome the opportunity to receive Islanders views on this important subject. Our intention has been to take as broad a view as possible of access to justice in the Island and we hope that the comments received will reflect this. The exercise to scrutinise the justice system is not limited to the lay public but also requires input from professionals and those with specific expertise or interest in the subject. That means those who practice in the profession or who are members of professional bodies trade groups and industry. Submissions are invited either individually or collectively. I would recommend that those who feel tempted to make comment but are reluctant because they feel nothing will come of it have faith in the review. Everyone who feels they have something to say should be positive and see this as a rare opportunity to be part of something that can really make a difference. Change does happen. Yes even in the legal profession. A perfect example of such change was the introduction of laws relating to competition which resulted in the legal profession scrapping the mandatory scale fee for conveyancing of property. That was a big change from which the user really did see a benefit. Another was the introduction of the excellent Jersey Legal Information website which carries laws judgments rules and information all serving to make the justice system accessible. Want another The change in property deeds from the antiquated use of the French language to English so that (and not before time) homeowners can now actually read and understand what it is that they have bought with their entire life savings (not an unreasonable request). If anything I have said has stirred you in the slightest don t rest become active and participate. It is an exciting opportunity which like Haley s Comet may not appear again for some time. I have a whole raft of submissions which I will be making to the panel myself because I consider there is much that needs to change and needs to change promptly. I won t be pulling any punches. If you wish to make comment or just wish to find out more about the review you should visit the dedicated website at http CrimeJustice AccessToJusticeReview - or tap into Google Access to Justice Jersey . Submissions must be in by 20 June 2014 so get cracking. Olaf Blakeley is an Advocate specialising in litigation and commercial law If you have a legal question you wouldliketoputto AdvocateBlakeley please email editor bailiwick 60 CONNECT JUNE O h eac ut dne We ay sd Happy Monday With over 700 jobs online at and an email service sending the latest jobs straight to your inbox there s no better place to start your job search than Bailiwick Express. Why not sign up today And enjoy your next Monday What a bank should be Whether small family companies or global corporations we approach every business customer as an individual relationship. We strive to understand your unique needs and to make banking straightforward so you can focus on growth. That s why our clients get a dedicated expert Relationship Director. We believe credit partners should meet you directly so our decisions are as transparent as possible. We work hard to do right by you and your business now and in the long term. It s thanks to this approach that we re proud to say 4 out of 5 of our business customers would recommend us. Find out how we re supporting businesses like yours at email Stephen.OBrien or call 01534 767750 We re proud sponsors of the International Festival for Business. GfK NOP Research Santander Business Satisfaction survey Q4 13. 1 628 respondents interviewed. Santander Corporate & Commercial is a brand name of Santander UK plc Abbey National Treasury Services plc (which also uses the brand name Santander Global Banking and Markets) and Santander Asset Finance plc all (with the exception of Santander Asset Finance plc) authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority. Our Financial Services Register numbers are 106054 and 146003 respectively. In Jersey Santander UK plc is regulated by the Jersey Financial Services Commission to carry on deposit-taking business under the Banking Business (Jersey) Law 1991. Registered o ce 2 Triton Square Regent s Place London NW1 3AN. Company numbers 2294747 2338548 and 153312 respectively. Registered in England. Santander and the flame logo are registered trademarks. Santander UK plc is a participant in the Jersey Banking Depositor Compensation Scheme. The Scheme o ers protection for eligible deposits of up to 50 000. The maximum total amount of compensation is capped at 100 000 000 in any 5 year period. Full details of the scheme and banking groups covered are available on the States of Jersey website ( or on request. CCBB 0397 JUN 14 HT