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FREE Please take a copy IN THIS EDITION 145m and counting - the deficit charges on o Read online at o Issue 40 August 2015 Unplugged Interview 8 OFFSHORE JURISDICTIONS GOAL Behind the facts and figures you will find one cohesive firm. Appleby one of the world s largest offshore law and fiduciary groups. With strong connections and skilled teams we deliver a seamless service across jurisdictions sectors and international borders. It s this combination of talent and global presence that sets us apart. CONNECTING THE RIGHT PEOPLE AND PLACES Bermuda British Virgin Islands Cayman Islands Guernsey Hong Kong Isle of Man Jersey London Mauritius Seychelles Shanghai o Editor James Filleul 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 Bailiwick Publishing (LCI) 5 Bond Street St Helier Jersey JE2 3NP Telephone 01534 887740 CONNECT ONLINE For the latest news and classifieds straight to your inbox visit and subscribe to our daily news service. EDITOR James Filleul editor WRITERS Ben Qu r e ben Martha MacDonald martha Julien Morel julien ADVERTISING Mark Ferns Telephone 01534 510309 markferns SUBSCRIPTIONS info DESIGN AND PRODUCTION Mark Jackson mark Artwork under 10Mb in size may be sent to this address. o Cover image by By Glen Perotte EDITION40 GET IN TOUCH... Please email editor J Please recycle this magazine. ersey s financial services regulator has been in the headlines a lot in recent weeks from successfully prosecuting the serial liar Andrew Fleming to the very different case involving depositors losing money with Equity Trust and once you mix in the acquittal of STM Fiduciaire and one of their directors (on the basis that a conviction would have set an extremely low criminal threshold for the point at which a Suspicious Activity Report should be made) it all amounts to a period when the balance between legitimate business risk and strict procedural compliance is under close scrutiny. Is that a good or bad position for the Island to be in Do the headlines show the island s regulatory regime is working Or do they suggest that its defences are under increasing attack from ever-more-sophicated threats Or perhaps there is a third option that the procedural load is becoming so onerous sooner or later firms will make an administrative mistake and that will land them in court. Read the views of the Director of the JFSC s Enforcement Division Barry Faudemer on page 54 before you bang your gavel on the desk and decisively shout Guilty or Not Guilty. Essentially the argument runs as follows without risk you don t have any business the most compliant company is the one without any customers. So how much time and money do you spend making sure you are compliant when other firms will be wooing your potential customers while you review the file one more time It s one of those subjects when there are more questions than answers and few who are prepared to take the witness box and publicly state their case. As ever the two extremes of the argument are easy to deal with of course a con-man such as Andrew Fleming should be prosecuted and there is no place for them in the industry. Equally a lowlevel administrative error shouldn t be enough for a firm to be pushed into the cold. I hope this month s edition of Connect helps you navigate the tangle of perspective paranoia pride and practicality which co-habit somewhere in the middle-ground. 01 Like Bailiwick Express connectjersey jsy CONNECT AUGUST 2015 Contents NO ORDINARY DAY JOB 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. SEll me a life in... 68 REGULARS LOC AL NE WS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 04 LEG AL MAT TERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14 Voisin Law . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 TR ADING PL ACES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 SELL ME A LIFE IN . . . FINANCIAL SERVICES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 HR Becky Hill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .35 TR AV EL Amanda Eulenkamp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36 TECHNOLOGY Lisa McLauchlan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38 GL A SS HALF FULL Donna Pugsley . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50 BUSINESS ADVISER John Shenton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52 UNPLUGGED Barry Faudemer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54 VIE WPOINT Retaining Staff . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 WHO S THE FOOL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 NO ORDINARY DAY JOB Leo Mansell . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68 MARKETING FORCES Christopher Journeaux . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75 HERE S THE THING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .76 DE ADLY DIARY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78 THE ADVISER Olaf Blakeley . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 80 02 AUGUST 2015 jsy CONNECT 30 BANKING BR ANDING FEATURES Appleby . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 Canaccord Genuity Wealth Management . . . . . . 42 Yellow Brick . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 ALX Training . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46 HR & TR AINING The Idea Works . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48 Special Report States deficit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22 Through a mix of allowing spending to rise far in excess of income and committing to investment in key public services the Council of Ministers has arrived at the point where there s an annual deficit of 145 million in the accounts. When you discover that the States spend 1 000 000 every day on their 7 080 employees you start to realise the scale of the problem. Ben Qu r e looks at the plan and then talks to the man with the tough job of clearing up the mess. You can read this magazine plus the latest local UK and business new online with UNPLUGGED 54 38 46 62 50 42 66 jsy CONNECT AUGUST 2015 03 JERSEY NEWS Collas Crill wins acquittal in landmark case In the first prosecution of its kind in Jersey the Royal Court has acquitted Michelle Jardine (represented by Advocate Nuno Santos-Costa) and STM Fiduciaire Limited ( STM ) (represented by Advocate David Steenson) of charges under the Proceeds of Crime (Jersey) Law 1999 (POCA). Lasting for four days the result of this trial should give a measure of comfort to financial institutions MLROs and directors of companies alike whilst also highlighting the importance of these roles in assessing risk and combatting crossborder crimes such as money-laundering. The offences carry with them penalties of up to five years imprisonment. Mrs Jardine and STM were charged with alternative offences under 34A and 34D of POCA. It was alleged that Mrs Jardine knew or suspected or had reasonable grounds to know or suspect that a person was engaged in money laundering. Both of the charges under POCA relate to a failure to disclose information to the Jersey Financial Crimes Unit on the basis of information received. The distinction between the two charges relates to whether such information was received in the course of a trade profession business or employment or whether the information came to them in the course of carrying out a financial services business. The alleged offences related to actions that took place between 1 May 2011 and 30 June 2011. At that time Mrs Jardine was the designated 04 MLRO and director for STM. She was also a director of a company known as Henley & Partners. It was the Prosecution s case that Mrs Jardine and STM failed to report a suspicious transaction involving a politically-exposed person (or PEP) from a high-risk jurisdiction in circumstances where the funds were remitted to them by an unknown third party. The Royal Court heard evidence from JFSC officials members of the Jersey Financial Crimes Unit as well as from Mrs Jardine. During the course of this evidence the Court heard was referred to the Codes of Practice issued by the JFSC and to the various factors to be considered when assessing whether or not there is a risk of money-laundering. Once all of the evidence was heard it was argued by defence counsel that in deciding to convict under either of these offences the Court would set an extremely low criminal threshold for the finance industry as a whole as to when suspicious activity reports should be made. Senior Partner Nuno SantosCosta who represented Mrs Jardine said This is the first time anyone has faced a criminal prosecution for failing to file a Suspicious Activity Report as opposed to facing civil regulatory sanctions and whilst alarm bells should sound when dealing with PEPs and high-risk jurisdictions this Judgment has shown that with prudent and diligent background searches the processes undertaken by Mrs Jardine can withstand scrutiny. There s one constant with the news it gets smaller. Back in the olden days national newspapers used to be great big things that spread out like roadmaps full of long-winded stuff about What It All Means instead of just being full of Stuff You Saw On The Internet Yesterday the radio used to be all about interviews and features instead of subMoylesian wittering and the less said about 24 hour news TV channels the better. But that s the way things are and no one can fight it. So Connect is going to go with the flow and imagine a world where every story comes down to a single 140-character Tweet. When this is how the entire news industry works in about six minute s time just remember that you saw it here first... World Cup rld Cup and England reach third in Wo aries or a sex all without phonebook sal uEnglands scandal in sight thankyo tballback womenforbringingfoo For more on the way the JFSC regulates local businesses see Unplugged on page 54. Go Set a Watchman s Harry Po Mockingbird sequel goe the literary world s ass knockemdeadScout nicetoseeyouagain tter on Pluto just tiny bugs Humans remember we re gh a freezing on a rock hurtling throu w Pluto dark void as new pics sho w feelingalittlebitsmallerno Got a suggestion for Tweet Me You know where we are... For all the latest business news follow connectjersey Follow us on Twitter AUGUST 2015 jsy CONNECT Investment Outcome Char ting your own Course South of France N43 16 38 E7 3 12 Where will your investments take you Your world isn t con ned to a single set of geographic coordinates. Neither should your investments be. Our experts have access to investment ideas around the globe 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 of ce 2 Grange Place The Grange St. Peter Port Guernsey GY1 2QA. Would you work with this business TWITTER FACEBOOK LINKEDIN Put a face to your business. We all know the importance of creating a good first impression. At Photoreportage we bring fresh photography to the world of advertising and PR. Working with many of the Channel Islands top corporate companies to produce high quality images that not only support their communication and creative teams but enhance the perception of their business. If you re looking to raise your profile... Contact Gary Grimshaw on info or call 01534 858 571 CO RPORATE C OMM ER C IAL WEDDING JOURNALISTIC JERSEY NEWS Compulsory job cuts loom for States staff Around 300 States employees have volunteered for a payoff to quit their jobs as ministers try to cut down the cost of the public sector but that total looks likely to fall a long way short of the 70 million savings target. Compulsory job cuts now look almost inevitable in the public sector for the first time in years. Even if 300 staff working at the average public sector salary of just over 46 000 took redundancy the annual saving to the States would be just 14 million which is just a fraction of the States 70 million target. Treasury Minister Alan Maclean said that besides the redundancies there would have to be pay restraint within the public sector. He said In excess of 300 applications have come in for voluntary redundancy and voluntary severance. They have to be assessed. It is a good response but there is probably more needed. We have always said that this is part of the process. Pay restraint is a very important element of that saving. The plan has also set aside 20 million to fund the one-off payments that outgoing staff members will receive. The States policies say that anyone who takes redundancy is barred from working in the public sector for five years to avoid people getting payouts and then just moving straight back into another States role. States developers demanded millions in damages if reports leaked Fear of leaks led to the States-owned developers demanding politicians sign a non-disclosure agreement with damages clauses worth millions of pounds before handing over evidence for a review. The States of Jersey Development Company made the extraordinary demand of a clause imposing personal liability of many millions of pounds on the politicians on the Scrutiny panel its staff and the clerks at the States Greffe. Panel chairman John Le Fondr who says the final report of his panel could still be weeks away says that they refused to sign the agreement with the damages clauses and that the SOJDC backed down and they are slowly receiving some information on a confidential basis. But he says that they have had to do a deal with the developers that even though some of the sensitive documents will be handed over politicians will never be allowed to see them. Instead the Scrutiny panel s independent expert advisers will be the only ones allowed to see the reports. Deputy Le Fondr said The panel is extremely frustrated by the challenge and denial of access to crucial documentation particularly when they are directly relevant to determining whether conditions laid down by the States in establishing States of Jersey Development Company have been complied with. After years of delays and missed deadlines work on the Waterfront finance centre has finally begun amid protests and objections from campaigners after UBS signed a lease for part of the first of a planned six buildings. Construction work by local firm Camerons has started with Planning permission already in the bag and the tenants eager to move into the new building. UBS who have been in Jersey for more than 30 years employ around 200 staff in the Island and are expected to take two floors of the building. The six-block financial services centre with around 470 000 sq foot of office space or around six-times the size of the football pitch at Wembley Stadium was first given the green-light by politicians in 2008. Hawksford is an international and award-winning corporate private client and funds business with clients ranging from small and large corporates to ultra-high net worth individuals. Jersey British Virgin Islands Hong Kong New Zealand Singapore Switzerland United Arab Emirates Hawksford Group 15 Esplanade St Helier Jersey JE1 1RB Channel Islands T 44 (0) 1534 740 000 Hawksford Group (and Hawksford International) are the Registered Business Names of Hawksford Trust Company Jersey Limited which is regulated by the Jersey Financial Services Commission. jsy CONNECT AUGUST 2015 07 JERSEY NEWS Minister confirms States services could be sold to civil servants States managers could be given the chance to buy their departments and set them up as profit-making businesses as part of the plan to close the 145 million deficit in public finances. Ministers are considering schemes that have been run in the UK to allow managers of public sector services to take them into the public sector. Under the options being considered money-making services such as parks and gardens or parking control at TTS would be either incorporated as a States-owned company or even sold outright. Treasury Minister Alan Maclean said that ministers were at the very early stages of considering whether such a scheme could work here. Last year the Coalition government spun off the Behavioural Insights Unit and pensions staff and procurement teams have also been hived off to the private sector. Senator Maclean said This is not new but it is something that we are considering. In principle there are functions of government run by employees that potentially could offer an opportunity for those employees to operate outside of the envelope of government and have a contract initially with the government and could deliver services to other areas as well. So we might say here s a contract for three to five years but you can also go out and find business from the private sector which gives them some certainty over the short term but also flexibility to look for business elsewhere. We would simply say to the management and staff here is the function let s incorporate it and create a company. We might do some sort of sale or have a buyout over a period of time. That would create opportunities for people. The proposal could become part of the package of measures planned to fill the 145 million deficit in public finances that will emerge by 2019. 1 TAKE FIVE Five reasons according to Deadly Diary that kids have it better than their folks You ll live longer. There s no denying it the kids of today will be the cyborgs of tomorrow. Stick that on a motivational poster. Whilst your folks fall victim to retro-healthcare you young things will have organs 3D printed for you each morning at breakfast. Huge strides in cancer research and technology will make you basically invincible. That s right we re talking Terminator level. Arnie would be so proud. Technology. Remember board games No Exactly. The days when kids had to make their own fun are well and truly OVER. The hours your parents would have spent playing with an old bit of cardboard pretending it was a rocket ship are a thing of the past. Soon you ll have your OWN ROCKET SHIP. Well maybe that s a stretch too far - but you do get a whole load of tech that your parents would never have dreamed of. Not only has this stuff been invented but it s not even that expensive. For just under 6 a month you ve got yourself access to the wonderful world of Netflix. After that who needs TV radio a social life or a job You re set for life kids. Travel. Kids today literally have the world at their fingertips. There is such a rich variety of travel destinations available at incredibly low prices. No of course DD hasn t been paid to say this by a large airline company don t be ridiculous... Previous generations would be happy to hop over to Guernsey over the weekend for a holiday (well as happy as someone can be to go to Guernsey). Now you can leave your front door at dawn and be in a completely different part of the world all before tea-time. Which is WAY better than going to Guernsey. But that bar isn t too high let s be honest. Cultural golden age. The UK is leading the way in film theatre and the visual arts. Young people can now access a wealth of cultural fodder to gorge on at the banquet of enrichment. DD may have extended that metaphor a tad too far. It s all going on right before their eyes as well as having access to everything that was good about the last 50 years in the arts all without having to sit through the cringey bits. More so than ever before the arts has become a leading industry. Careers in the arts aren t just viable but desirable. The economy is diversifying in a way that was never possible way back when. There is more drama more cinema and more talent being showcased on a global stage and kids today are bearing witness to that. Also Benedict Cumberbatch need DD say more Parents. Of course your parents have a little something to do with it all. The new generation of 20 somethings were raised by the anarchists of the 60s and 70s. Their mums were Greenham Common women and their dads were punk rockers. As kids they were angry rebellious and political - kicking out against their parents. Who better to raise kids of their own These baby-boomers understand teenage angst and the desire to protest. Young people are getting politicised and independent and it s all thanks to you mum and dad. Stay skinny-jeaned and strident. 2 3 4 Want more Read Deadly Diary on page 78 08 5 AUGUST 2015 jsy CONNECT JERSEY NEWS Benefits and staff cuts planned as deficit rises to 145 million The deficit in public finances has grown to 145 million and ministers are now planning even bigger cuts in the States wage bill and a freeze on benefit spending to fill the gap. The pensioners Christmas Bonus and TV Licence scheme for the over 75s will also be casualties next year and new charges on households worth an estimated 1 000 per year are being planned by 2019. Chief Minister Ian Gorst and Treasury Minister Alan Maclean have unveiled their spending plans for the next few years including an extra 40 million funding for health and an extra 9 million for education and cuts to the States wage bill worth 70 million. The plans include 168 million worth of capital projects between 2016 and 2019 including a new Les Quennevais School and sewerage works but huge projects such as the new hospital (estimated at more than 450 million) States office consolidation and improvements to Fort Regent have not been included. The ministers say that the deficit has grown from 135 million to 145 million because tax receipts dipped again and they have added that there s still a risk that it could keep growing. And although no details have been released of planned charges that will be levied on Islanders to help to fill the gap ministers have confirmed that they re aiming to make 35 million from a health charge and a further 10 million from charges on waste. That combined 45 million divided by the number of households in Jersey mean that as a very crude calculation each household would have to find another 1 000 to pay in charges to the States by 2019. Chief Minister Ian Gorst said Even though our economy has experienced difficulties due to the recession since 2008 we are now going to come out of that. Despite the difficult backdrop this is a positive plan that will deal with important social priorities that we face alongside all other western democracies and at the same time it s fiscally prudent and will balance our books over the period. For more on how the Council of Ministers plans to tackle the deficit see page 22 Lack of staff holding back finance recovery An acute shortage of staff for mid-level positions in finance companies means that ministers have to drop restrictions on bringing in staff from overseas. That s the view of employment specialist Gina Le Prevost of AP Executive who says that in the wake of the 2008 crash the industry stopped taking on enough trainees and that now there s not enough mid-level staff with three-to-five years experience to fill vacancies in the trust and funds sectors. Finance industry profits rose by 25% last year as the economic recovery started to take hold in the Island. That has led to an upturn in recruitment but now some firms are struggling to find the staff that they need to grow. Mrs Le Prevost s warning is that more people will have to be brought to the Island to plug a gap in skills and experience in the finance industry and the trust and funds sectors in particular and that ministers will have to relax restrictions on immigrants coming in Her comments come at the same time that there has also been some disquiet over figures that show overall immigration has been running at 600 per year over the last two years almost double the States target. Mrs Le Prevost said Since early 2015 we are noticing a recruitment upturn in the Channel Islands and other global locations which specialise in trust and fund professionals. However companies specialising in these popular sectors are now struggling to find candidates qualified with the important three to five years levels of experience. Companies need support by the Guernsey and Jersey respective authorities to be able to employ non- locally qualified candidates if necessary and strict work permits policies which have been in place for so long now should be more relaxed. Without companies being given more leeway with bringing in non-locals and if the numbers of jobs in specialist areas continue to increase in the islands it is inevitable that salaries will need to rise in these industries. In fact job seekers moving to the islands because of work offers would also improve the Guernsey and Jersey sluggish housing markets which both islands are currently experiencing. 09 jsy CONNECT AUGUST 2015 JERSEY NEWS Battle between trust company and regulator has damaged Island s reputation Nine hundred UK investors lost around 35m in a botched property scheme that Jersey s financial regulator says has damaged the Island s reputation. The Jersey Financial Services Commission issued a statement announcing that a long and acrimonious battle between itself and a trust company that administered the scheme was almost over after investors had agreed to a settlement offer which is a significantly less than their original investment. The regulator has been highly critical of the trust company Equity Trust although it says the relationship has improved since 2014 when new management took over at The Parade-based firm. Before that since 2006 when the scheme a high-risk investment in off-plan residential developments in Bulgaria Croatia and Montenegro was first set up the Commission say that the relationship was adversarial and confrontational. JFSC Director-General John Harris said There were problems and a lack of constructive relationship between Equity Trust and the Commission which lasted for too long and which got in the way of some form of settlement. That changed last year and there is now some element of redress. It is not total or perfect but it is better than most similar sort of settlements. Of course some people will be unhappy with the outcome because investors have still lost significant amounts of money. The Managing Director of Equity Trust between 2006 and 2009 was former Jersey Finance Chief Executive and Chairman of this year s Island Games organising committee Phil Austin. Mr Harris said Mr Austin was involved because he was the Managing Director of Equity Trust during periods of time when these issues were extant but I m not going to give you any more comment on that. Mr Austin was not prepared to comment either. Mr Harris added Equity Trust must accept a measure of responsibility and that is reflected in the substantial settlement offers that have been made. The Commission has also received some compensation from Equity Trust but that does not in any measure go to recovering the sum total of our costs which are very significant over a nineyear period. Yes there is potential reputational damage to Jersey. You have 900 UK investors who have only received partial compensation so there is bound to be some fall-out. There have been a number of these types of schemes that have gone wrong over the years and not just in Jersey but even allowing for that there must be some reputational risk to the Island this was a very unfortunate scheme which didn t succeed. Clearly there were errors and problems which could have been avoided. WHAT HAVE YOU BEEN READING A QUICK LOOK AT THE BIG STORIES LAST MONTH ON BAILIWICK EXPRESS Morgan s death inquiry continues no bail conditions for five teens released The investigation into the death of 16-year-old Morgan Huelin remains a live inquiry with around 24 officers still on the case despite the release on bail of five teens arrested on suspicion of his murder according to police. http jsy news update-investigation-morgans-deathcontinues-no-bail-conditions-fiveteens-released Woman faces court over Millbrook toddler neardrowning A woman is due to appear in court this morning in connection with the near-drowning of a two-year-old boy at Millbrook Park a fortnight ago. http jsy news update-woman-be-chargedover-millbrook-toddler-near-drowning Ministers to spring property tax plans in weeks annual charge on the cards The Treasury Minister has announced that plans for possible changes to property taxes will be out by the end of summer after a consultation that floated annual property tax charges and windfall taxes where house values rise. http jsy news ministers-spring-property-tax-plansweeks-annual-charge-cards GET THIS LATEST NEWS & CLASSIFIEDS STRAIGHT TO YOUR INBOX Every day we send our top stories directly to the inbox of each of our subscribers that database includes a diverse readership or thousands from senior professionals looking for business news to house hunters in the property market. Our current email services are DAILY NEWS EMAIL Goes out everyday to our largest database keeping them up-to-date with our top stories. WEEKLY RECRUITMENT EMAIL Getting the right staff is key to all local businesses and our Wednesday e-mail is just what they are looking for. WEEKLY PROPERTY EMAIL Targeted at our readers looking specifically for property. Published every Friday it catalogues open viewings over the coming weekend so property-hunters can plan their itinerary. WEEKLY MOTORING EMAIL Goes out every Tuesday to everyone looking for a new set of wheels. Our weekly e-mail makes sure they know the latest deals and are up-to-date with what s on offer. GUERNSEY BUSINESS NEWS EMAIL Goes out everyday to a Guernsey database keeping them up-to-date with our Guernsey business news stories. 10 AUGUST 2015 jsy CONNECT ext Generation N Recruitment... Searching for jobs on has never been so easy our enhanced mobile interface with new personalised log-in area means you can now store and manage your CV view applications get live updates as well as chat online to our experts whilst on the go. Visit our new website today and find a job you ll love. Perm & Temp Employment Executive Careers Graduate Services Salary Survey Psychometric Testing Pre Employment Screening Call 626777 jobs Trinity House Bath Street St Helier JE2 4ST NEWS News RE view Finance profit recovery highlights value of industry to Jersey Figures published in the Survey of Financial Institutions indicate that profits generated by the finance industry jumped by a quarter last year to reach the highest level in six years whilst more local students than ever are finding employment in the industry according to Jersey Finance. Overall total annual net profits generated by the industry in 2014 stood at 1.47 billion an increase of 25% compared with 2013 whilst the survey also highlighted the importance of the banking sector which represented 81% of all profits for the industry last year and itself recorded an increase in net profits of 28% on 2013. In addition profits generated by the trust and company administration sector grew by 14% compared to 2013 and the legal sector saw profits increase by 23% whilst the fund management sector witnessed a 2% increase in annual profits. Net profits for the accountancy sector were calculated as 26 million. The figures also highlight the value of the finance industry to the local 12 economy with local finance firms spending a total of 740 million last year up 4% on 2013. Almost half of that (47%) was spent on local goods and services significantly more than the 35% recorded in 2013 equating to an average of almost 960 000 every single day in 2014. Jersey Post launch more 24 7 parcel locker trials Following on from the success of their initial parcel locker trial at the General Hospital and Commercial Street Post Office Jersey Post have announced that they will be opening further banks of 204 lockers at Broad Street Post Office and 124 at Rue des Pres Post Office to be trialled on a free basis until January. Tim Brown Jersey Post Chief Executive said According to a survey by Island Analysis In March 2014 around 50% of all household goods are now bought online and indeed at Jersey Post we have seen a significant increase in the volume of parcels being delivered to Jersey over the last two years. We are committed to enhancing our services and the provision of parcel lockers will not only provide customers who are not at home during the day with quicker access to their goods but provide retailers with increased confidence that their parcels will be delivered securely and as quickly as possible. Parcel lockers will create greater convenience accessibility and flexibility and form part of a wider initiative by Jersey Post to improve customer services and satisfaction. Survey reflects stability and positive long-term outlook for finance Stability and a strong long-term outlook for Jersey s finance industry are key messages to emerge from the latest Jersey Business Tendency Survey according to Geoff Cook CEO Jersey Finance. The majority of indicators for the finance industry in the survey were the same or similar to the previous quarter whilst eight of the ten indicators were positive. Whilst the Employment indicator for the finance industry declined slightly this was mitigated by an improvement in the Future Employment indicator with 49% of companies in the sector anticipating increased employment by December 2015 compared with a year earlier. The accountancy and legal sub-sectors were the most positive. The longer-term outlook for profits was also positive with 45% of companies in the finance sector anticipating increased profits in 2015 compared with 2014 the legal and fund management subsectors being the most positive. Meanwhile a third of Jersey firms (34%) felt that the region with the greatest potential for developing key business referrers in 2015 was Asia whilst the biggest issue for Jersey s business environment was external financial regulations. Geoff Cook said It s always difficult to draw too many conclusions from a three month period alone but the fact that attitudes within the industry are consistent with the last quarter reflects a welcome degree of stability. Shoplifter mugshots sent to retailers Photos of Jersey s most prolific shoplifters are being sent to stores in a new crackdown on theft. The police have launched a Shop Alert scheme to target shoplifters and advise retailers on how they can stop people stealing from them. In the last few years the police have had huge success in tackling theft the number of offences recorded in the first six AUGUST 2015 jsy CONNECT NEWS Email us on editor Got News months of this year is 24% down on the equivalent period in 2012. Under the Shop Alert system businesses that sign up will be sent pictures of prolific shoplifters get regular updates when police identify new offenders get advice on security measures and get stickers showing that they are part of the scheme to deter would-be thieves. The new scheme has been welcomed by retailers already. Co-op Chief Operating Officer Mark Cox said Shoplifting creates loss and disruption for retailers while affecting all customers by reducing product availability and increasing the cost of goods sold. Shop Alert is a great initiative which will assist us in taking a more proactive approach to dealing with shoplifting in our stores. The Channel Islands Cooperative is fully supportive of this development as it is through partnership approaches like this that retailers and The Police will be successful in reducing the level of shoplifting locally. Inspector Mark Coxshall the Head of the Community Policing Team for the States of Jersey Police said The Town Police Unit has had a real impact on retail crime since its introduction in 2011. We want to develop this further with businesses and make sure we remain as accessible as possible to the town shops and retailers. workspace for the course so that the students can learn in a real-life business environment. The course addresses the current digital skills gap in Jersey and will help to ensure that young people have the skills required to the fill the long-term talent pipeline. Local Students Kick-Start Entrepreneurial Future Eleven Grainville School Students aged 14-16 have been selected to complete a new twoyear vocational Business and Enterprise Course delivered through collaboration between Digital Jersey Head Teacher of Grainville School John McGuinness The Department of Education and members of Jersey s digital industry. The curriculum is the first of its kind in Jersey and will focus on enterprise and entrepreneurial skills giving students the chance to work individually and in teams on creative projects. This will build their digital proficiency as they move towards their chosen career paths and will give them the knowledge and skills set to become selfemployed and develop a business successfully. The course will be delivered by Jo Carroll Head of Business at Grainville School business leaders and digital industry experts who will also act as mentors for the students. Digital Jersey has offered the Hub as a As expected the most common area to access Wi-Fi was in the Games Village in Howard Davis Park followed (in order) by the Weighbridge Liberation Square and St Aubin. Data collected by JT during the NatWest Island Games XVI has confirmed it to be the most connected in the Games history JT installed 82 wireless access points to its broadband network across the Island for competitors and spectators to use during the Games period which together registered 84 228 connections and enabled more than 11 000 different devices to download 2.1 TB s (a terabyte is 1 024 Gigabytes) of data. Those customers used Facebook (146.7 GB of data used) more than three times as often as they logged onto Twitter (40.3GB) or Instagram (30.9 GB) with 70% using Apple devices. Sancus continues to grow with opening of Gibraltar office Sancus Group has established a new office in Gibraltar as it looks to increase its presence in the fast-growing peer-topeer (P2P) market place lending sector and has appointed two leading individuals from Jersey s financial services sector to head up the new business. Sancus (Gibraltar) Limited will be headed up by Stephen O Brien who has relocated to Gibraltar to run the office and JTC Group Chairman Nigel Le Quesne will join the Board of the company as a nonexecutive director. Group Chief Executive Officer Andrew Whelan said I am delighted to welcome Steve and Nigel to the Sancus Group. They are both highly regarded internationally in the offshore trust and intermediary sector and I am confident they will bring a wealth of experience and enthusiasm to lead and direct our team in Gibraltar. 13 jsy CONNECT AUGUST 2015 LEGAL MATTERS Legal Matters Mourant Ozannes advises on 138 million sale of Bizspace Mourant Ozannes has advised the Bizspace group in connection with the 138 million sale of its assets and property portfolio to global alternative investment fund V rde Partners. Bizspace which leases commercial units offices studios industrial units and storage to hundreds of businesses has a 6m square foot commercial property portfolio comprising of 97 multi-let sites located throughout England and Scotland. The sale of the Bizspace assets and property portfolio dubbed Project Spring was managed by PricewaterhouseCoopers and Savills on behalf of RBS HSBC Nationwide and AIB (as part of a co-operation agreement between Bizspace and its creditors). Mourant Ozannes Finance and Corporate team led by partner James Hill with associate James Daniel acted as Bizspace group s Jersey legal counsel on the sale working alongside Addleshaw Goddard LLP who acted as English legal advisers. James Hill said We are delighted to have been asked to advise on the sale and it was a pleasure working with the wider team. The UK has been a magnet for global capital in recent years particularly the real estate market and Jersey has helped to facilitate and structure many of those deals. It is fantastic for the Island to be building relationships with so many large global institutions. Carey Olsen advises on KWE s 300 million bond Carey Olsen has advised Jersey-based LSE-listed property company Kennedy Wilson Europe Real Estate Plc (LSE KWE) on the successful close of its 300 million debut senior unsecured bond. The unsecured bond has an annual fixed coupon to the Company of 3.95% which was effectively reduced to 3.35% as a result of KWE entering into swap arrangements to convert 50% of the proceeds into Euros. Interest on the unsecured bond is payable annually in arrears on 30 June of each year commencing on 30 June 2016. The Unsecured Bonds will mature on 30 June 2022. Both KWE and the unsecured bond are rated BBB (outlook stable) by Standard & Poor s. The Carey Olsen team that advised on the Jersey aspects of the transaction comprised of KWE s relationship partner James Mulholland and debt capital markets partner Simon Marks assisted by senior associate Claire Le Quesne. Allen & Overy was lead counsel to KWE. Mr Mulholland said This successful close represents a significant achievement for a relatively young property company to obtain investment grade status and then launch a bond in what are challenging market conditions. Yet again we are proud to have supported KWE the wider Kennedy Wilson group and its advisors. Management buyout of Appleby s fiduciary business Appleby has announced the management buyout of its fiduciary business (AFB) for an undisclosed sum backed by private equity firm Bridgepoint. Completion of the transaction is subject to certain conditions including regulatory and legal approvals. Partner and Global Group Head of Fiduciary Farah Ballands who will become Chief Executive of the independent fiduciary business said The management team is delighted that we will be partnering with Bridgepoint. With Bridgepoint s support and expertise in growing businesses 14 successfully we will be able to develop a greater range of products and services for our clients. The Appleby Group has provided us with a solid foundation and enabled us to grow to the size reach and scale that we enjoy today but now is the right time to accelerate our growth plans. Appleby s Group Managing Partner Michael O Connell who will continue to lead the law firm post-completion said This is an exciting development for Appleby. The transaction will enable two strong businesses to grow and prosper independently whilst remaining close where it suits the needs of clients. AUGUST 2015 jsy CONNECT LEGAL MATTERS Legal Matters Notaries Public - How can they help you Jeffrey Giovannoni is an Advocate and Notary Public at Voisin law firm. The work of Notaries Public is a mystery to most people but it is an ancient and important branch of the legal profession that is recognised around the world . In this column Advocate Giovannoni demystifies the area of law by answering questions that he s most frequently asked by businesses and members of the public. Who might require the services of a Notary Public Typical clients are local trust companies and private individuals. Jersey does a great deal of international business and our services are frequently required in this context. It is also quite usual in the context of international transactions for documents to be required to be notarised by the parties abroad especially if you are dealing with lawyers based in civil jurisdictions such as France and Spain. Affidavits for use in the Royal Court of Jersey may also be sworn before a local notary and powers of attorney that require registration in the Royal Court of Jersey can also be signed before a local notary. We are frequently asked by private individuals to witness the execution of deed polls by which they formally apply to change their names. What are the duties and powers of a Notary Public A notary public is an officer of the law whose public office and duty is to draw attest or certify under his official seal for use anywhere in the world deeds or other documents. The notary profession has its roots in Roman law. In the United Kingdom notaries are described as members of the oldest branch of the legal profession and this description is probably true for Jersey. Jersey notaries are appointed by the Archbishop of Canterbury and are subject to regulation by the Court of Faculties. It is for this reason that the successful candidate will take the Oath before the Ecclesiastical Court in Jersey or the Dean of Jersey before being able to practise locally. Notaries are primarily concerned with the certification of signatures and documents for use abroad and the typical activities of a notary include (i) preparing and witnessing powers of attorney for use overseas (ii) dealing with purchase or sale of land and property abroad (iii) providing documents to deal with the administration of the estates of people who are abroad or owning property abroad How often are you called upon Notary services are required on a daily basis. (iv) authenticating personal documents and information for immigration or emigration purposes or to apply to marry or to work abroad (v) authenticating company and business documents and transactions. There seems to be increasing demand for notarial services in light of the worldwide anti-money laundering and know your client concerns. Notaries are ideally placed to provide comfort as to the identity and capacity of parties in international transactions. Is it expensive to utilise the services of a Notary Public A notary should inform clients in advance of the fees. A notary is frequently cheaper than using the services of an advocate or solicitor because the notary normally charges on the number of documents being notarised rather than on a time-cost basis. What qualifications do you need The Master of the Faculty Office has issued an order which requires a candidate to show that he has for a period of five years immediately before admission been practising as a duly qualified and admitted lawyer in the place and jurisdiction where he proposes to act. You have to be a Jersey qualified lawyer. The candidate is of course required to pass the local examination in notarial practice. How long do you hold this position It is a lifelong appointment. How many Notaries Public are practising in Jersey There are approximately 25 practising notaries in Jersey. Commercial Law Property Transactions Matrimonial & Family Law Wills & Probate Litigation Are you looking for a legal bursary Get a head start in the legal world by applying for the Voisin Bursary Scheme. If you are interested and want to know more please contact Emma Stewart - T 01534 500357 E emmastewart 37 Esplanade St Helier Jersey JE1 1AW Channel Islands. Tel 44 (0)1534 500300 Fax 44 (0)1534 500350 mail jsy CONNECT AUGUST 2015 15 APPOINTMENTS Trading places Visit for all the latest business news Want more Senior appointments at PraxisIFM following merger Andrew Ingrouille as Group Head of Operations. Director Richard Kearsey has become Managing Director of PraxisIFM Trust Limited in Jersey. With combined revenues of over 23 million assets under administration of more than 30bn nine offices around the world and over 200 people it s absolutely essential that PraxisIFM has the strongest possible management team so that we achieve our vision for growth and that clients continue to receive the highest level of service said Brian Morris PraxisIFM executive chairman. All three of these positions will play an integral part in leading the business forward allowing PraxisIFM to increase its range of services and grow its global footprint. Rebecca Andrew and Richard have extensive experience and expertise and their knowledge of the group s operations will be vital as we integrate the businesses and ensure every jurisdiction is following the same client-focused approach. Communications specialist joins Direct Input PraxisIFM has made three senior appointments as part of its plans for future growth. The merger of Guernsey-based Praxis Group and Jersey-based IFM Group to create one of the largest independent and owner-managed financial services groups headquartered in the Channel Islands was recently finalised following regulatory approval. The group has now announced that Rebecca Murphy has been appointed as Group Chief Finance Officer and L eonie Herv has joined public relations company Direct Input (DI) as an Account Manager. Leonie (32) has a background in finance previously working at HSBC and Santander Private Banking developing and implementing an integrated programme of communications. She has a BA Honours in Marketing and as a member of the Chartered Institute of Public Relations a Diploma in Public Relations and a Certificate in Internal Communications. She joins Direct Input just as the specialist PR agency moves to new offices at 5 Bond Street St Helier. Leonie said I am very excited to be joining Direct Input especially at a time when they are expanding into new forms of media. This new opportunity will enable me to demonstrate creative succinct and engaging solutions in an era when forms of communications are converging. Leonie is a Trustee for the Jersey Community Relations Trust. She enjoys running cycling and is a yoga enthusiast recently completing a 200-hour teaching training course in Nepal. Direct Input offers public relations and digital communications services to a variety of clients both in the Channel Islands and worldwide. Developing strategies for brand awareness and communications Direct Input uses the extensive media experience of its team to compile creative campaigns that utilise traditional and digital media for both consumer and business audiences. Hawksford strengthens corporate capabilities with associate director appointment Hawksford has appointed Moira Ashby as an associate director. Dr Ashby will be part of the team responsible for defining building and growing Hawksford s corporate business. A tax specialist she has had extensive exposure to a large variety of corporate clients including trading businesses banks and life assurers. Over the past nine years she has been involved with complex engagements ranging from UK and Jersey tax compliance through to structuring advice transactions due diligence and FATCA CRS advisory. 16 Hawksford director Steve Robinson said Growing and consolidating our corporate business is a particular focus for Hawksford. We have a strong and diverse portfolio of international corporate clients across a range of industries and Moira s expertise will help us to accelerate our growth ambitions. Hawksford is at an exciting and challenging time in its evolution and I am very much looking forward to working with Steve and the corporate team to achieve the company s long term objectives added Dr Ashby. AUGUST 2015 jsy CONNECT Our interns have it all. Brains courage heart. Gradu I n t e r na t e ships te Graduahips d Interns challenging projecet-rbase ange s k offer a diver ffer ow Bric across Yell y. We o nships in Jerse te inter ents gradua vironm king en ork of wor roject w e te for p t servic gradua skilled ruitmen A d rec ting an ent ree vet nagem Af ject ma ick graduates itial pro Br Free in for all Yellow g trainin Sign-u p tod llowb ay ye ick_ JSY Br Yellow GUERNSEY NEWS Saffery Champness appoints new trust manager Russell to comanage one of its family office teams. Mr Russell joins Nicola Kendall in overseeing a team of 14 who have for more than a decade administered a small group of ultrahigh net worth client relationships. Saffery Champness has significantly strengthened its trust capability with the appointment of Andy Bringing with him more than 25 years experience in the trust and company management sector Mr Russell returns to Saffery Champness having previously spent several years carrying out the business and compliance reviews for the team he now manages. He also spent three years as a deputy money laundering reporting officer supporting the local trust division of an international bank while attaining his ICA Diploma in compliance. Mr Russell said In the modern financial climate an understanding of the challenges that face compliance officers is essential to the smooth running of a trust business. Executive Chairman of Saffery Champness Kelvin Hudson said It s great to have Andy join the team. Having worked with Saffery Champness before he has a unique insight into the business and I m confident that he will be a much valued and respected team leader. New program raises 2.4 billion using Guernsey structure Carey Olsen s investment funds team has advised on the launch of Park Square Capital s Credit Opportunities II Program which raised a total of 2.4 billion of committed capital making it one of the leading players in the European leveraged loan markets. Acting alongside onshore firm Debevoise & Plimpton Carey Olsen partner Andrew Boyce and senior associate Alex Mauger advised on all Guernsey aspects of the program raising including structuring fund formation regulation marketing and launch. The program includes two closed ended Guernsey limited partnerships a main 18 AUGUST 2015 jsy CONNECT fund and a feeder fund and is regulated as a registered collective investment scheme. The program includes committed capital which has been raised from a range of institutional investors from around the world in particular European and US pension funds and leverage which has been provided by leading global financial institutions. The program will have a similar strategy to that of its predecessor fund which is also a Guernsey structure raised by Park Square in 2007. It will invest in the senior debt of leveraged US and European companies and will work alongside private equity partners. The program will routinely be able to commit more than 100 million to transactions. IT that works with you wherever you are. Wherever you may be in the world on a desktop laptop or tablet our customised IT solution gives you secure access to your business. To do your job you need a solid secure IT workspace and access to the right tools. IT as a Service from Logicalis delivers your business applications as well as Microsoft Office and Email in a highly secure and protected environment. You can access it from anywhere at any time from any device whilst your documents emails and data remain secure in our highly resilient data centres. Keeping your own IT updated secure available and accessible is a demanding and specialised skill so if you want to focus on what you do without the lifecycle demands of owning and running IT Systems then our IT as a Service could offer the perfect solution. e business bene ts Your IT - complete secure and managed Predictable costs Flexible and scalable Your data stays on island Secure authenticated access Access anywhere anytime from any device Protection against power outages Knowledgeable and friendly support Consistent user experience Improved Disaster Recovery Logicalis is the most experienced hosted desktop provider with 1100 users across the Channel Islands so if you would like more information on how we could assist you in providing secure and bespoke hosted desktop solutions please call our experts in Jersey on 288088 or in Guernsey on 737000 for a free no obligation and con dential discussion. Guernsey 44 (0) 1481 737 000 Email solutions Jersey 44 (0) 1534 288 088 Email solutions GUERNSEY NEWS Senior appointment at Ravenscroft Brian O Mahoney has built up a close relationship with the independent stockbroking and investment management firm in recent years. As former Finance Director at Legis he has worked alongside and reported to the principals at Ravenscroft since 2011 when the firm assisted with the financing of the MBO of Legis via Bailiwick Investments Limited. During this time I have got to know the team and the company ethos and obviously liked what I saw. Ravenscroft is clearly a company that is going places so it is an exciting time to join. I look forward to the future challenges that working here will undoubtedly bring said Mr O Mahoney. He will be responsible for all group financial matters and as COO he will oversee the group s operations functions. Mr O Mahoney will also be involved in the further integration of Vartan Ravenscroft the Peterborough-based stockbroking and wealth management company Ravenscroft purchased a majority stake in earlier this year. My aim is to ensure that the back and middle offices at Ravenscroft are able and capable of effectively supporting the expansion plans that the business has said Mr O Mahoney. Ravenscroft has appointed a new Finance Director and Group Chief Operating Officer with more than 20 years experience in offshore finance. Allied Aircrew Memorial project reaches target following 5 000 donation Investec Private Banking has donated 5 000 to ensure that a memorial can be erected at the airport for Allied aircrew who died in Bailiwick waters during the Second World War. The Allied Aircrew Memorial Committee appealed to islanders to donate what they could so that the project could be completed. Mike Snelling committee member and air force representative said the response had been fantastic. The Allied Aircrew Memorial Committee is extremely grateful to Investec for its donation which carries us well on the way to establishing all of the funds we need to complete the project. The response we ve had and the support throughout the project has been amazing said Mr Snelling. Stephen Henry Head of Investec Private Banking in the Channel Islands said the bank was delighted to be able to help. Investec feels very strongly that those Allied aircrew who died in our waters should be honoured as publicly as possible and what better way than at the gateway to the island where thousands of people will pass each week. When we heard that the project had faced unexpected costs which could have set the project back we agreed as a bank to help said Mr Henry. The monument will be unveiled at a ceremony involving dignitaries from Guernsey and overseas on Wednesday 9 September. Any funds remaining at the end of the project will be donated to local charities. Barclays appoints two new Premier relationship managers Barclays has appointed two new local relationship managers in Guernsey. Dan Smale is new to the business having joined in May while Emma Isabelle has been promoted following six years with the Bank. In his new role in the Premier team Mr Smale will be working to enhance the firm s relationship with Premier clients helping and advising them on their financial objectives. Mr Smale has over 12 years of experience in various personal banking and investment team roles. In 2013 he joined ABN AMRO Guernsey Ltd to work as a relationship manager for intermediaries where he gained exposure and knowledge in a different business sector. Mrs Isabelle who has been promoted to relationship manager for Premier clients will be responsible for ensuring all Premier clients receive a high level of customer service. Mrs Isabelle has 15 years of experience in the offshore finance industry and joined Barclays in 2009. She has worked as an account executive and service team leader where she dealt with local and international trading and fiduciary businesses. 20 AUGUST 2015 jsy CONNECT complex waters expertly navigated Lumiere Wealth build long term relationships in order to preserve enhance and protect your wealth for the future. Our team of experienced independent wealth managers offer an extensive range of quality solutions whether you want to invest plan for retirement or protect your family or business. To begin your journey contact Chris Byrne or Jason Mills on 01534 625001. Millais House Castle Quay La Rue de L Etau St Helier Jersey JE2 3EG Andrew Wesley Forster Business Development Manager andrew.forster Chris Byrne Managing Director chris.byrne Jason Mills Director jason.mills 44 (0) 1534 625001 info INVESTMENTS PENSIONS PROTECTION SAVINGS PRIVATE MEDICAL INSURANCE Lumiere Wealth is regulated by the Jersey Financial Services Commission. Standing at the exit in the last chance saloon Bold . If you re looking for a one-word summary of the States plan to tackle the looming deficit in public finances that would be it . Through a mix of allowing spending to rise far in excess of income and committing to investment in key public services the Council of Ministers has arrived at the point where there s an annual deficit of 145 million in the accounts. When you discover that the States spend 1 000 000 every day on their 7 080 employees you start to realise the scale of the problem . Ben Qu r e looks at the plan and then talks to the man with the tough job of clearing up the mess . The scale of the challenge facing Treasury Minister Alan Maclean is enormous. He s been left in the position of fixing a hole in States finances that amounts to 145 million every year to put that in perspective it s the equivalent of the entire Education and TTS budgets or the equivalent of a third of all tax revenue. At the same time he s leading the overdue efforts to turn the States of Jersey in to a lean 21st century organisation that is designed to face the challenges of the next few decades not the challenges of the past. Since Senator Maclean got the Treasury Minister job he s been working on firstly establishing the size of the problem and secondly coming up with a solution to it in collaboration with his colleagues on the Council of Ministers. What they ve come up with is the snappily-titled Medium Term Financial Plan. The plan sets out three things how ministers plan to sort out the deficit what they re going to do next year and also a broad outline of the following three years. The most important part of all of that is the big plan for fixing the deficit which looks like this 22 2 words Ben Qu r e Savings from the wage bill - 70 million by 2019 The States spend 1 million every single day on their 7 080 employees. With staff costs making up such a huge slice of all public spending ministers have decided that the best way to make a dent is by hitting the wage bill. There are three elements to their approach cutting the number of people who work for the States through a mix of voluntary redundancy and compulsory redundancy schemes refusing to hand out big pay rises Savings from the wage bill - 70 million New charges for health and waste 45 million Savings from non-staff cuts - 20 million Freezing benefit spending - 10 million not automatically replacing staff members who leave their jobs. At the same time as that s going on they AUGUST 2015 jsy CONNECT SPECIAL REPORT hope to achieve another long-standing aim to reform the public sector and make it more agile flexible and better positioned to deal with the challenges that we know are coming in the future. But the scale of the cuts should not be underestimated it works out as just under 20% of spending on staff. And that s a significant problem. Even if you allow for around 15 million in savings through pay restraint ultimately ministers would need to remove well over 1 000 staff (based on the average salary of around 47 000). Aside from the implications on the public sector of removing one-in-seven employees there s also a knockon impact on the employment market. Although unemployment has retreated from the heights of 2013 there s probably still around 2 700 people out of work in Jersey (based on the typical relationship between the Actively Seeking Work figures and the more reliable but less regular ILO stats). Adding a significant number to that total is likely to add to benefit costs and there s a genuine question over whether there are opportunities for those people to re-enter the private sector workplace quickly. A figure of 20 million has been put aside to fund redundancy payouts for people leaving the public sector and there s an additional 7 million per year to support restructuring of departments. But not all departures will need payouts. Senator Maclean b Even if you allow for around 15 million in savings through pay restraint ultimately ministers would need to remove well over 1 000 staff jsy CONNECT AUGUST 2015 23 SPECIAL REPORT SPECIAL REPORT says that there is a reasonably high turnover rate of 6% in States jobs he argues that even if just a third of those jobs are not replaced by the end of 2019 almost 600 jobs will have been cut and there will have been an added opportunity to restructure the way that the States operates. b A figure of 20 million has been put aside to fund redundancy payouts for people leaving the public sector and there s an additional 7 million per year to support restructuring of departments . New charges for health and waste - 45 million The plan isn t just about cuts there s also a set of new charges proposed to raise more money. The plan put forward last month doesn t reveal a lot of detail mostly because ministers have committed to bringing in charges midway through 2018 by which time they say they will have demonstrated that the cuts and reform programme are working. It s widely expected that the health charge will be some kind of add-on to the existing Social Security or tax systems but there is no clue yet how the proposed charges for liquid and solid waste might work although there are suggestions that they could be an add-on to the States portion of the rates bills that Islanders pay based on the rentable value of their properties. All together the budgeted revenue from the charges comes to 45 million if it was to be spread equally that would mean additional charges of around 1 000 per household per year. they need if they project gets the go-ahead. Their aim is to start work on sorting out the chosen single site in 2017. The second option that ministers are pursuing is e-Gov an umbrella title for a project moving a whole swathe of services online such as online tax forms Social Security contribution systems and school reports. The logic is that by digitising processes the States will be able to reduce the number of processing jobs and save significant amounts of money. To that end they ve set out a budget of 7 million per year to fund various elements of non-staff reforms including the e-Gov project. The issue with all of that is that the States have a poor record on e-Gov. Various deadlines have passed without progress and now it appears that the whole project is being held up because the Tax and Social Security departments need new IT systems first and the e-Gov project is being suspended until that work has been done. The third plank of the non-staff cost savings is about improved performance management processes. The current civil service grading and increment system rewards longevity rather than performance or qualifications that has been raised as an issue by a previous HR Director but little progress has been made. The Medium Term Financial Plan proposes the creation of a Performance Management Framework which would ensure that all staff are regularly appraised on their performance and training requirements. The final plank is perhaps the most controversial and certainly the most likely to raise the hackles of the trade unions. The Council of Ministers has underlined a commitment to review every area of the jsy CONNECT AUGUST 2015 25 Savings from non-staff cuts - 20 million The good news if you re a States employee is that there are ways that the public sector can reduce your costs beyond reducing the workforce. The bad news for everyone else is that the track record over the last few years shows that they re not very good at it. One of the most obvious is that they could reduce the number of sites that departments currently operate out of a plan was due to go to ministers before the summer to do just that and consolidate States offices in one already States-owned site. That would not just unlock economies of scale and bring people closer together it would also allow the States to offload satellite sites such as the Home Affairs offices in Hill Street the Planning and TTS offices on South Hill and the Education department at the Highlands campus. All of that will cost money upfront and ministers have committed to coming back to the States to unlock the investment that b It s going to be a bit of a moveable feast in some respects even if I give you the breakdown as we see it it will change . Senator Maclean suggests in the interview accompanying this article to management buyouts of some services or even full privatisation where part of a department might simply be sold to a business to be run at a profit. Freezing benefit spending - 10 million The final part of the four-part strategy is to freeze overall benefit spending at 2015 levels a move that ministers say would save 10 million. Although the headlines have been captured by moves to end the Christmas bonus for all local pensioners and to phase out free TV licences for the over 75s there are a set of other changes planned as well. Although some benefits will rise over the period Social Security Minister Susie Pinel has named rental and childcare components of Income Support as examples the overall spend will be capped at this year s budget until 2019. One earmarked change will see jobseekers aged between 19 and 25 treated the same way as students that means that around 75 young people living at home with their parents will have to go out and look for work States and consider whether each has to be provided and if so whether it is necessary for the government to provide it. That could mean big changes in areas such as for example the parks and gardens department at TTS or the parking control office which could find themselves removed from the envelope of the public sector. That could either mean incorporation in the same way that the States have successively turned JT Andium Homes and the Ports of Jersey into publicly-owned companies sitting outside of the government. Or as 26 AUGUST 2015 jsy CONNECT SPECIAL REPORT if they want to continue to receive Income Support payments. Another will see changes to the way that a claimants income is assessed so that pension and maintenance income will be treated the same way as earned income. The changes are designed to promote financial independence and ensure public money is well spent. charges and changes to the tax system and so on in recent years so we think that this is rebalancing the contribution that needs to be made. We feel that there is room to redesign services and make the public sector more agile and more flexible. We believe that this is deliverable but it s not going to be easy. Why has the deficit grown by 10 million to 145 million since mid-April First of all these are forecasts so they are going to be changed and adapted. Since the last forecast there have been two additions that have made a difference. One has been the introduction of depreciation and that other has been a one off change to a particular taxpayer in the finance industry that accounts for 5 million. These things happen it s not particularly unusual and it s about a piece of business that used to be done here it s not linked to a reduction in jobs. What s the plan to squeeze 70 million out of staff costs It s going to be a bit of a moveable feast in some respects even if I give you the breakdown as we see it it will change. Pay restraint is clearly a part of it. We have got the voluntary redundancy (VR) and voluntary severance process that s going on at the moment. That does not take you to the final target but it s part of it. There s also natural turnover there is a 6% turnover of staff in the organisation so if you take a small percentage of that say 2% that could give you 400 or 500 jobs which can come out on an ongoing basis. There is flexibility in the plan to deliver the 70 million savings. Chief Minister Ian Gorst has floated the idea of further incorporations or even management buyouts in public sector services how would that work This is not new but it is something that we are considering. In principle there are functions of government run by employees that potentially could offer an opportunity for those employees to operate outside of the envelope of government and have a contract initially with the government and could deliver services to other areas as well. So we might say here s a contract for three to five years but you can also go out and find business from the private sector which gives them some certainty over the short term but also flexibility to look for business elsewhere. We would simply say to the management and staff here is the function lets incorporate it and create a company. We might do some jsy CONNECT AUGUST 2015 27 A fourth-placed finish in last October s Senatorial election was enough to win Senator Maclean promotion to the Treasury Minister s job which he won in a 29-18 vote . As soon as he arrived in the job he may have been forgiven for wishing he hadn t . From day one he had to start dealing with a huge deficit in States finances now estimated at 145 million and took some big radical steps in inviting external consultants in to find public sector savings and budgeting for depreciation for the first time in States history . But the biggest job has been the preparation of the Medium Term Financial Plan which he explained has been built around flexibility and a commitment to cut spending before asking the public to pay more in taxes . What led you to set the balance on filling the shortfall between cuts savings and taxes charges in the way that you have the balance is set at roughly two-thirds from cuts and a third from new charges It s not just the split that matters it s the timing too. What we are seeking to do is ensure that we start to deliver the savings and redesign and reform programme before we reach out to ask Islanders to make a potential additional contribution through charges for health or through TTS. The timing is important the recovery is just beginning to take hold so we re planning to leave some space before the health charge comes in around 2018 and 2019. That s recognition in part that Islanders have seen a number of additional SPECIAL REPORT b There have been a number of changes on fees and charges in recent years and we want to look at which areas of the community have been hit hardest to make sure that this is as fair and equitable as we can make it. sort of sale or have a buyout over a period of time. That would create opportunities for people. Is there a Plan B if you miss savings targets or if the States reject key parts of the plan Flexibility which is something that I keep talking about is really critical to this process. The 145 million shortfall of expenditure over income involves investment in services what we are talking about is keeping all of that growth money centrally within the Treasury. So we will make certain that if departments are not delivering or if something in the plan goes wrong and we have to adapt then the impact could well be on some of the additional funding. We will have to adapt and be flexible as things go on. Given that there have been 300 applications for VR are compulsory redundancies inevitable at this point At the average States salary even if 300 applications were accepted that would only get you to 14 million which is a long way from the target. You re right in one respect it won t be enough in itself. This is the first round we have gone out to the organisation and asked for applications and we have got in excess of 300 applications. We are not going to take all of them departments have to be looking at service redesign or we run the risk of taking people out of the organisation and impacting on services or removing them and re-employing them. We are not going down that road again. Departments have to know if they allow a redundancy that it is sustainable in the long-term and whether they can deliver the services in a different way. We have said consistently that we cannot say that compulsory redundancies are not going to happen. There is every likelihood that there will be some compulsory redundancies but we are going through a process to limit that and we need to get to the position of balanced budgets at the end of 2019. The pensioners Christmas Bonus and free TV licences cuts look like old-school shroud-waving how likely do you think it is that those will get through the States Are they just there for political cover to focus the opposition so that you get the substantive changes through Obviously when we get into areas that are much more emotive it s going to be more difficult but we have tried looking across all departments and areas to gauge whether some of the benefits could perhaps be pared back or changed to ensure that we get an overall balanced picture. I accept that any change of this nature is not necessarily going to be easy but none of this is easy. We have to get public finances into a position that is sustainable in the long-term. It s not political gamesmanship that s not what the intention is. We believe that contributions have to be viewed across the board. We are very clear that if for any reason something were not to progress then that money will have to come from somewhere else. There are some fairly aggressive changes being proposed. The total amount of charges divided per household suggest an average cost of 1 000 per household. Do you think that now s the right time to be passing that on so soon after the recession and the imposition of the long term care fund The proposed charges are coming late in the programme. We are also doing a piece of work on distribution analysis that has not been done historically. We want to know where the changes hit hardest and we want to make sure that we get the balance right across the income quintiles. There have been a number of changes on fees and charges in recent years and we want to look at which areas of the community have been hit hardest to make sure that this is as fair and equitable as we can make it. END jsy CONNECT AUGUST 2015 29 CAREERS o By MARTHA MACDONALD W Financial Services Helen Skade Associate Director in Private Client Team at Hawkford Group Sell me a life in... ith the mounting pressure on young people to get better grades go to university and climb the career ladder I decided as a real life young person to go out into Jersey businesses and investigate the employment opportunities available in the Island. The world of work can be a scary place and contrary to popular belief career paths aren t always neat and tidy. I ve done the school thing the PE lessons the cringeworthy proms I ve worked hard for my grades and now I m claiming my right as a school leaver to ask the question What can this industry offer me If you re fresh out of school or uni and you feel as lost as I did when suddenly no one was structuring my time for me anymore this feature will hopefully show you the diverse ways in which you can arrive at the same employment goal. This month a swaddled financial services baby lay on my doorstep. I eyed it with suspicion at first but it quickly won me over. Despite being one of the biggest industries in the Island I knew surprisingly little about financial services before I embarked on my life-changing Sell me a life in... quest to the Hawksford Group. Accompanied by my noble steed I valiantly walked round the corner to meet Helen Skade and Amy Dolman who told me all about why a career in financial services has more to it than meets the eye. 30 people shouldn t be frightened to apply for jobs because the openings are always there. We also have a graduate trainee programme which Hawksford are just setting up so really we re open to both. MM Do you think the financial services industry gets a bit of a bad press with young people in Jersey HS No I don t think so. We were recently interviewing trainees and people were really desperate to be taken on in the industry. I think we have got a good reputation especially now we re so stringently regulated. I d say Jersey is probably one of the most reputable offshore centres. Although it s very difficult when you begin especially in a large company it can be quite overwhelming but I think the opportunities and the perks and the offers would really be attractive to most young people. With this kind of life you get to travel you get to do things that probably you d never get the chance to do otherwise and meet so many different interesting people. MM What opportunities are there to work abroad HS We have acquired businesses in different jurisdictions so there might be more chance to be seconded to Singapore Hong Kong Luxembourg and possibly Dubai. A lot of our clients are in multiple jurisdictions so on my section we have business from South Africa India and I go to Spain every year because I have clients there too. MM What kind of people do well in this industry Martha MacDonald Could you briefly outline your role here at Hawksford Helen Skade Being an Associate Director I run a large team of 14. Within the team we have such a mixture of clients. We go from smaller private clients to managed trust companies to corporate clients. My role is full of variety every day there s something different and no two transactions are ever the same. MM After 20 years in this industry looking back on your career is there anything you would have done differently HS I can t say that I really regret anything. I attended Highlands to gain my qualifications. I think I wish I d started studying sooner. When I was younger I travelled a lot and I lived in the Netherlands for a year. But for my career progression it would have been a lot swifter if I d qualified sooner. MM So you trained locally at Highlands College in this industry do you need to go to uni or can you come straight from school HS You can come straight from school. We employed one of my team members who was working in a shop in town. She didn t have a degree but she s now a Senior Administrator running one of our managed trust companies. So AUGUST 2015 jsy CONNECT CAREERS HS Certainly in the client facing roles you have to be fairly confident. That can come with time and experience but you have to be very people-focused clientfocused and relationship-focused. It s so important to build relationships and continually work on those relationships to make sure that clients remain happy with Hawksford. MM What kind of opportunities are there to climb the ladder in a company like this HS We have a clear-cut structure in place which outlines what you need to do to get to the next level. If you want to progress you can find out what you have to do and your line manager will arrange the right training to get you there. MM Sell it to me Helen HS Presently the trust world is so adaptable because things are changing all of the time. Rules and regulations and different jurisdictions are changing and therefore our work changes. So I would say you just get so much variety that should you wish to go into another industry you re already very well prepared the trust industry just gives you a wealth of experience. Martha s verdict Although it s easy to stereotype this industry as full of massive corporations where everyone wears identical trouser-suits financial services involves a lot more people skills than you may think. The whole industry is built on people like Helen who are working with clients every day of the week to make sure they are getting everything they need. After 20 years working in this job Helen says that in financial services confidence when dealing with clients is the most important skill you can have. Now if that s not proof enough I don t know what is If you re after diversity challenge and a clear route to rise to the top then it sounds like I just sold you a life in financial services. Call me Ethan Hunt because mission accomplished. jsy CONNECT AUGUST 2015 31 CAREERS Amy Dolman Senior Trust and Company Administrator Martha MacDonald What does your role entail here at Hawksford group Amy Dolman I m the first of point of call for a lot of my clients. I ve got my own portfolio of business which ranges from a family office role and I m also working on more complex structures like a managed trust company. It s different every day I would say. It s nice to have moved around and had exposure into different areas of the business. MM What s the client-facing aspect of your role like AD I would say I meet clients on a monthly basis. As I m moving through my career I do visit London regularly as well. It s always good to meet with the clients. It s the part of the job that I enjoy the most because it really is about managing relationships and about building a rapport with your clients. Ultimately you can appreciate that there s someone there at the end of the phone and that s who you re doing it for. MM Could you talk to me about your route to get to where you are now AD I m from Jersey originally. I went to Jersey College for Girls. I started university but I didn t graduate and I 32 think that s something I would really stress to young people don t rush into it because there s lots of different routes into the industry. When I first left school I worked in corporate which is quite different to trust work it s more time pressured and there s more deadlines. Trust and company admin is more about building relationships with an individual person or a family. I ve moved around a bit. I went travelling as well and I would absolutely recommend that to young people. I m lucky because Hawskford is so focused on development and training and they ve offered me really really good training routes. MM Do you think there is a pressure for young people to go to uni AD Absolutely but there s lots of opportunities available here to qualify and still to study. If you don t go to uni it doesn t mean that you won t get a qualification that isn t as strong as a degree. When I left school I didn t know what I wanted to do and I think rather than rushing into a decision and going to university (whilst obviously it s a great experience) remember that it s not for everybody. I don t regret not having a degree at all because of the opportunities I ve been given through the different places I ve worked. I ve been able to study here and get the equivalent of a degree anyway. MM What s the actual process of qualifying like AD I did ICSA which is the Institute of Chartered Secretaries and Administrators so I m a member there. It s quite a long process it s basically like a degree. I ve got the ICSA diploma and I m currently looking at doing the professional which means that I will become a chartered secretary. Initially you start with the certificate but if you have a degree you don t have to do the certificate and diploma and you can go straight into the professional. The certificate is four exams the diploma is four exams and then I think the professional is eight but if you have a degree it s only six. Equally STEP is another qualification that is offered to people trying to get into the industry and to learn a little bit more because when you first start it is like a different language. It s stuff that you would have never ever come across at school or at uni or wherever so you do need to do those extra exams to understand why you re doing what you re doing. MM Why did you decide to come back to Jersey AD I was looking at London as well at the time. I think here it s easier for people to find jobs whereas it s really competitive in London. I don t think I would have had the same support in the UK as I did here for learning development and for actually getting the qualifications as well. I think I ended up working here for the long term because the work life balance here appeals to me I like that when I finish work after a busy day I can be on the beach in 5 minutes or with family and friends. MM What advice would you give to other young people looking to go into the financial services AD I would say explore your options. I think that s something I wish someone had told me to do because I was only 18 actually when I started working and I had no idea at all what any of it meant. Accounting corporate trust admin it was all like a different language. I went into corporate without really understanding even what the role was and what I would be doing. You ve got to really think about the sort of person you are and what you think you would like to get out of your role. AUGUST 2015 jsy CONNECT CAREERS Martha s verdict Well if anyone could sell me a life in financial services it would be Amy Dolman. It s clear that she loves every aspect of her role at Hawksford and it seems that the support is definitely in place for trainees looking to qualify. There are obviously a lot of exams involved in qualifying (maybe slightly fewer if you re a graduate) but if you re suited to this kind of work the rewards are there for the taking In Amy s role it s all about how to best serve your clients but in this industry there are a wealth of other options for different people and skill sets. Martha s Top tips Confidence is key In the everpertinent words of Gok Wan It s all about the confidence. That s certainly true if you re going into a client-facing role in this industry. A career in the financial services is going to be competitive so if you can stand out in your relationships with clients you ll only be doing yourself a favour. Uni s not for everyone Although uni may feel like a rite of passage really think about whether it s the route for you. There s plenty of ways you can create a successful career for yourself all without student debt it s a win win Explore your options As a trainee in this industry it s easy to move with the flock and get landed with a department that doesn t necessarily suit your interests. Research the different areas you can go into to maximise your potential. PHOTOGRAPHY Robbie Dark Tune in to Jersey s online radio station ...And best of all NO ADS Listen to six non-stop music stations at radio This is where music lovers in Jersey can listen to the best of the 60 s 70 s 80 s 90 s 00 s and very latest chart music. To listen via your mobile download the tunein App JERSEY NEWS & CLASSIFIEDS HR Want to stop the costs of unfair dismissal Mediate. I f not managed well conflict can quickly escalate ending in costly claims for unfair dismissal. Becky Hill of HR Now explains that mediation is your best form of defence When conflict arises it can very quickly get out of control leading to wider team dissatisfaction a huge impact on productivity and if not managed well to costly and time consuming claims for unfair dismissal. The trick to avoiding these common pitfalls is to stop grievances before they escalate too far and to use mediation to stop the worst from happening ending up in court. The signs and stages of conflict Conflict in the workplace is fairly common. Who hasn t witnessed disputes between colleagues or frustrations emerge between a line manager and a member of staff But when conflict becomes a real source of tension it can make life for the business and those directly affected very difficult indeed. Businesses rely on teamwork and working towards common goals so if frustrations are not quickly resolved they are very often shared quickly causing wide spread dissatisfaction. Often the initial source of frustration is performance related. A colleague or manager might take issue with another member of staff s approach their attitude or even level of productivity. If the cause of the frustration is left to fester and grow the resulting conflict becomes a serious drain on management time affects staff morale and employee engagement lowers productivity increases staff absence and becomes a huge drain on finances. But it doesn t have to get that far. The business case for mediation Mediation is a tool used to deal with disagreements between individuals in the workplace. Often described as a form of alternative dispute resolution or ADR mediation sits outside the formal grievance and disciplinary procedures. Mediation works by enabling the parties involved to identify the cause of conflict and reach a satisfactory resolution by means of a clearly stated set of actions in a neutral non-threatening environment. The process is confidential and without prejudice. The process of mediation brings the two sides together to air and reconcile their differences before the emotional contract is broken and employment ends. Rebuilding relationships is essential and coaching can be offered following mediation and after a formal dispute has been resolved thus avoiding claims for unfair or constructive unfair dismissal and hopefully a return of engaged productive employees. If the relationship has in fact broken and parties are facing the court or tribunal mediation can also provide an alternative informal process before the formality of a tribunal is imposed. In this scenario mediation is incredibly powerful as it gets both parties to see the merit of the other party s point or case and therefore reduce their own expectations for the financial claim they might make. Taking the cost out of conflict The cost of conflict can be manifold leading to periods of staff absence sickness costs and a significant loss of productivity. Conflict also has a huge impact on the management team. Unlikely as they are to have the time for formal proceedings and tackling disputes or even the skills to do so swiftly and effectively dealing with conflict takes managers away from running the business causing further loss of productivity and resulting in unhappy customers. Should conflict reach the stage of no return and an employee claims unfair dismissal that can be very costly indeed. Take this real-life example an employee had accused their line manager of bullying and threatened a constructive unfair dismissal claim that could have cost the company over 25 000. But by working with a mediator each party was able to openly state their grievances. Having clearly set out the cause of their frustration and be presented with the other side s case both sides were better able to understand the merit of the other s concerns. The employee was also able to set more realistic expectations about the outcome of the case. The result The case was settled for 3 000 saving the considerable time stress and the cost of a tribunal. Mediation is a tried and tested cost-effective way of managing conflict. But it s important to bring in mediation at the early stage of conflict in order to increase your chances of a swift and successful resolution. The longer conflict is left the more difficult it becomes to open up the situation and widen people s perspectives. And that s when the real problems start and your financial costs escalate. jsy CONNECT AUGUST 2015 35 HR o Columnist BECKY HILL HR Now TRAVEL Looking after your staff GET IN TOUCH... If you ve got a travel question you would like to ask Amanda please e-mail amanda.e E veryone has heard about CSR but how does it relate to the travel industry Do you focus on the cost of the flights for your staff without looking at the route or the timings Do you save a bit on a hotel room for a single traveller without taking into account its proximity to the meeting that your employee is attending In addition to making business travel a little more inconvenient some cost savings can also put companies at risk of breaching regulations. Corporate Social Responsibility has taken a further step in the legal requirements for companies to protect their employees in the performance in their duties. The extension of health and safety provisions beyond the company workplace specifically has an impact on business travel and the need for companies to ensure that they have systems in place to ensure their employees are protected. The duty for a company to demonstrate it has exercised all due care in ensuring an employee either does not either take or face risks when travelling on business has led many to question if this will mean the end of self-booking or a major increase in company expenditure as travellers book only with premium-priced suppliers. This need not be the case as many companies have seen cost and time savings by using a travel management company rather than do-it-yourself booking and so have also (without realising it) mitigated much of their responsibility on safety issues. While a company cannot fully abdicate its responsibility to its employees by passing this duty of care to a travel management company it is generally considered that insistence upon use of professional expertise from a travel management company is a good illustration that the company acted responsibly. The rise of the internet has seen somewhat dubious airlines appear as first choice on many searches look at the Asian and African markets. Indeed some of the airlines high up in search rankings also figure prominently on the EU banned airlines list Recently UBER and AirBNB have taken the taxi transfer and accommodation markets by storm. The idea is excellent and any travel management companies will investigate the options provided 36 AUGUST 2015 jsy CONNECT by these products. However would you trust an unknown taxi or bed and breakfast in Delhi or Moscow A good travel management company will always offera24-houremergencyservice avoidroutingswhicharecontrarytoruling FCOadvice avoidairlinesthatareincludedintheEU (orequivalent) safetyconcern lists recommendhotelsinappropriate surroundingstominimiserisksonthestreet adviseonhotelstomeetthespecificneeds ofinexperienced disabledorfemaletravellers arrangegroundtransfersthrough respectableoperators and suggestalternativestoself-drivecarhire ininclementweatherconditions. w Travel o Columnist Amanda Eulenkamp Director of TravelSolutions looks at the place of Corporate Social Responsibility (CSR) in business travel. Being part of ABTA and licensed by the CAA ATOL scheme travel management companies will have undergone rigorous testing to ensure they follow the relevant codes of conduct that include such things as professional indemnity. All of these are part of the standard service as well as ensuring excellent value for money. While self-bookers are rarely reckless in extreme the frustrations experienced at the time spent trying to arrange a trip are widely recognised as often reaching the point at which bookers will call time on the search process and make a snap judgement to select an option which appears to suit the needs of the moment leaving a company open to the potential accusation of an absence of social responsibility towards the employee. Travel management companies are also looking at the implementation of new ways to keep their travellers informed. In a previous article our MD discussed the new traveller contact systems being rolled out by TravelSolutions with the ability for GPS location tracking via smartphone apps. For companies with travellers visiting many of the hotspots around the world these simple and extremely cost effective tools should prove a massive insurance policy. The duty is clear and embodied in law. The solution is clear and both tried and tested. Optimum wellness guaranteed results. Let us show you how Healthhaus Express can enhance your 9-5. Milon training circle Lunchtime and evening circuit classes Evening running club Free 6 week nutrition course Smoothie and healthy food take away service Membership of our NEW Healthhaus home online resource Private members login And much more... Have a lunch date stop off on your way home or simply take a screen break with Milon at Healthhaus Express 31 Gloucester Street St. Helier. Opening hours 6am - 8pm Monday Friday 8am - 4pm Saturday and Sunday. Because your body is as precious as your time. Call 747212 or email info TECHNOLOGY Technology Those Balmy Days of Tech BY LISA MCLAUCHLAN Head of Commercial Operations Sure A s the summer reaches its height and every warm sunny day feels better than the last it s easy to think that the only place that anyone could want to be is outdoors enjoying the sunshine. playing many parents see it as a tool that helps develop their kids creative talents. Of course it s always a good idea to keep an eye on the amount of time a child spends playing any computer game. Parents should also make sure they know what games are being played and who their children are communicating with in order to keep them safe online. If you haven t encountered Minecraft before it is best described as a virtual form of Lego in which the participants are able to build their own worlds using large digital blocks. The game s immense popularity was confirmed at Minecon the world record-breaking Minecraft conference held at Not all of us however will hear the call of the outdoors. Many young people will spend sunny days sitting in darkened rooms whilst ignoring their parents pleas for them to ... hurry up and get ready to go out as they focus on building incredible worlds in the massively popular game Minecraft. As many parents of children aged over five will know Minecraft is a phenomenon and this is partly down to the fact that rather than discouraging their children from New tech Being recognised this Summer The recent media storm-in-a-teacup surrounding Google Photo s incorrect labelling of people s images has shed a little light on one of the world s fastest emerging technologies facial recognition. At the same time the story has raised questions about whether we want to be automatically recognised in the photos we take and post on Google or Facebook. Facial recognition technology has been with us for decades (see FBI for more details) but it is only now with the accelerating development of machine learning and artificial intelligence that the technology is moving into our everyday lives. The problem is that platforms like Facebook are now capable of recognising our images even when our face isn t included. By analysing gait posture and other attributes it is possible that you could be tagged in photos that you had no idea included you. This brings a whole new level of privacy concerns. This summer you could be lying on the beach in your swimming gear as someone completely unknown takes a photo that happens to capture you in the background. Suddenly that less than glorious shot of you lounging on the sand is not only on Facebook but tagged so everyone you know can see it. Now to be fair both Facebook and Google are aware of these concerns and have taken steps to ensure that facial recognition does not impinge on our privacy. Google s system has been prohibited from associating identities with images and Facebook has not launched its most cutting edge recognition technology. What we do know is that the technology is there and it is up to us to make sure we are aware of just how much we want to be recognised in our daily lives. 38 AUGUST 2015 jsy CONNECT TECHNOLOGY Gadget The phone for Summer Dusty dry heat or windy driving rain are both features of a Jersey summer and are a simple fact of life for the Sony Xperia M4 Aqua making it the perfect phone for both holidays in the sun and life on our windblown and occasionally wet island. Following the success of the Xperia Z3 Sony s designers have incorporated its hugely popular dust-tight and waterproof design features into the M4 Aqua thus creating the ideal all-purpose handset. Being able to resist the elements means that M4 users can take advantage of either of the two superb 13 and 5 megapixel cameras regardless of the weather. You can even use the cameras whilst enjoying a swim as it lets you take selfies in depths of up to 1.5 metres London s Excel centre last month. 10 000 people of all ages turned out to immerse themselves in Minecraft for two days. The aristocracy of the Minecraft universe were there including Stampy whose Minecraftfocused Youtube Channel has brought him over 6 million subscribers and worldwide fame. As Minecraft carefully negotiates the fine line between parental approval and derision it is worth bearing in mind what is arguably the game s greatest attribute its ability to entertain children on long summer holiday drives. Nothing is more likely to reduce the number of are we there yets than a good Minecraft session. So parents before you start getting too concerned about your children s desire to sit indoors and play games make sure you check which game it is and take a moment to remember just how useful a great educational game such as Minecraft can be w Technology That said the M4 s story does not stop at its ability to withstand environmental extremes. Running the latest version of Android (5.0 Lollipop) on 1.5GHz quad core processors means that the M4 is both fast and responsive and with two days of battery life it is the ideal handset for both business and leisure. Visit for all the latest technology news or subscribe to get the latest news straight to your inbox jsy CONNECT AUGUST 2015 39 Looking for more Technology News FEATURE The Banking Business (Jersey) Law 1991 (Banking Law) allows Jersey banking business (technically deposit-taking business) to be transferred from one licensed bank to another by means of a court-sanctioned scheme. When Standard Chartered consolidated its two Jersey banking entities (Standard Chartered (Jersey) Limited and Standard Chartered Bank Jersey branch) into a single operating platform for its Jersey business in September 2013 it used the Banking Law in a novel way to effect the transfer of both its banking and investment business. The Royal Court of Jersey confirmed in Re Standard Chartered (Jersey) Limited [2013] JRC172 its jurisdiction to transfer investment business alongside banking business under the scheme in appropriate cases. The Court again clarified the extent of its jurisdiction in another case in 2014. In that case the Court was asked to confirm its jurisdiction under the Banking Law to sanction the transfer of regulated funds services business and investment business as well as banking business and their separation in effect from the bank s existing trust company business. Most recently the Court has sanctioned the transfer of deposittaking business from Abbey National International Limited to the Jersey Branch of Santander UK plc ([2015] JRC138) including for the avoidance of doubt any historic liabilities relating to previous investment business and general insurance mediation business activities. Appleby advised in respect of all three of the above transfers carried out in the last two years. The Court confirmed that provided the non-deposit taking activities are integral to the business to be transferred and have not been artificially grafted on to a deposittaking activity in order to get through the jurisdictional gateway the Court can exercise its discretion to sanction the scheme. The flexibility of the Banking Law and its application to increasingly 40 AUGUST 2015 jsy CONNECT complex businesses is illustrated by these cases. The Banking Law can be used not only to transfer banking business alongside other regulatory activities but can also be used to separate banking business from its other business whilst minimising the potential impact on clients. By Wendy Benjamin Group Head Appleby Key procedural steps and documents Transfers under the Banking Law are subject to various procedural requirements including two court hearings one being a directions hearing initially for derogations from client notices and subsequently a second hearing to consider sanctioning the scheme publication and distribution of notices to clients and members of the transferor and transferee (unless derogations have been obtained) including a summary of the scheme obtaining an auditor s report on the terms and likely effects of the scheme on transferring clients and an opportunity for any interested parties including the regulator and employees at the sanctions hearing to be heard and to object on the basis that they would be prejudiced by the carrying out of the scheme. Provided that the scheme involves no compromise or arrangement the more complex provisions applicable to schemes of arrangement under Jersey company law will not apply. The key legal documents required include the scheme document itself the independent auditor s report a summary of the scheme legal notices for the Jersey Gazette customer member and creditor notifications (subject to court derogations) the court application and various affidavits. Principles to be applied in sanctioning In each of the three recent cases the Court sanctioned the transfer of banking business and other regulated business (where applicable) from local FEATURE BANKING Increasing flexibility and use of Jersey court-sanctioned banking business transfers subsidiaries to the existing Jersey branches of other group entities for example in the for Standard Chartered and Santander Abbey National cases to the Jersey branch of a UK public limited company. The Court judgment in the Standard Chartered case contains helpful guidance on the principles to be applied by the Court when considering an application to sanction a scheme given the lack of statutory guidance in Jersey. In each of the cases the Court considered Re AXA Equity and Law Life Assurance Society and AXA Sun Life Plc [2001] 1 All ER (Comm) 1010 noting that it had been transposed by the Court into the Jersey context for long term insurance business transfers. In summary following that case the principles to be applied when considering sanctioning a scheme under the Banking Law include the absolute discretion of the Court must be exercised by giving due recognition to the commercial judgment entrusted by the companies constitution to its directors the Court is concerned whether an interested party or group (including customers employees and creditors) will be adversely affected by the scheme the Court will pay close attention to the views of the regulator the scheme whilst being fair does not have to be the best possible scheme in the Court s view as that is a matter for the directors and the details of the scheme are not a matter for the Court provided the scheme as a whole is fair. The Court must satisfy itself that the required formalities under the Banking Law have been met (including the provision of an independent auditor s report and client notifications). A number of matters could be taken into account in assessing the fairness of the scheme overall including the financial standing of the transferee and the operational impact of the scheme on clients. Objections The Court will also take note of the absence (or existence) of any objections to the scheme by clients or creditors. The Abbey National case illustrates the Court s approach to considering client objections made on the basis that they may be adversely affected by the scheme. Taking all matters into account the Court needs to be satisfied that the scheme is fair as between the different persons affected by it and is fair overall before sanctioning it. As banking groups consider strategic reorganisations involving offshore subsidiaries and branches particularly to meet ring-fencing requirements and to achieve capital and operational efficiencies the ability to employ flexible court-sanctioned schemes to transfer banking investment and other regulated business should be welcomed. The Isle of Man has recently introduced a similar mechanism for court-sanctioned schemes and other offshore jurisdictions are likely to follow its and Jersey s lead. 41 jsy CONNECT AUGUST 2015 FEATURE Notes from a Small Island By Nigel Cuming Chief Investment Officer Canaccord Genuity Wealth Management . and even after the retreat from Empire and the rapid rise of the new emerging giants such as China and India the UK stock market still represents around 7.5% of the global investable equity universe. For most clients in the UK seeking exposure to equities however the traditional route to overseas shares has been through third party funds with many only holding direct equity names in their portfolio in the form of UK-listed shares such as BP Unilever or HSBC. Of course in the past there were many very good reasons for this approach. Holding equities in this way was often felt to match more accurately the currency exposure of clients based in Great Britain who also typically felt more comfortable with names with which they were familiar reclaiming taxes where possible on dividends is easier to administer and investing in overseas equities through funds gives access to diversified exposure run by some of the best-known investors in the market even if it also usually means that the currency matching objective is diluted and comes at the price of an extra layer of costs. But this traditional view is increasingly open to challenge. After all 70% or so of the earnings of companies within the FTSE 100 index is in any case derived from overseas. For BP Unilever and HSBC along with most of the other names in the FTSE 100 index the UK is only a relatively small if historically important market. So with its Greek-based bottling company its Chilean and Mexican miners its Middle Eastern pharmaceuticals company its global oil companies and all the other companies that comprise it the FTSE 100 already gives investors more exposure to Global Economy plc than to UK Economy plc. Moreover in terms of diversification the UK lacks the sectoral breadth one might desire. In the UK we have a larger exposure to oil companies and to mineral extraction than the world as a whole but very little in technology by comparison. BANKING Bill Bryson s 1995 travelogue reminds us that perceived through the eyes of the 99.1% of the world s population who do not live in the United Kingdom Great Britain is a small place surrounded by water with quaint views and curious habits. More recently in response to rising tensions over Syria in the middle of 2013 Russian President Vladimir Putin s spokesman proclaimed that Britain is ...just a small island ... no one pays any attention to them. Of course the fortunes of history and an open mind to the outside world have meant that in global markets along with a number of other areas 42 AUGUST 2015 jsy CONNECT More widely whilst there are some great companies in the UK you can be sure that there are many many more great companies in the 92.5% of the world that is listed outside of our shores. Why limit ourselves only to Royal Dutch Shell and BP for instance when we can possibly find opportunities in Exxon-Mobil in the US or in Total in France In technology ARM which is the UK s largest technology name is a great (albeit perhaps expensive) company. But what about Apple Google Microsoft Samsung Electronics or SAP Why ignore them ARM s market value is approximately US 24bn. This is merely 3% of the size of Apple on its own by way of stark contrast. And in today s more global world who is to say that Apple or Proctor & Gamble or Colgate Palmolive or Nestl are any less familiar to our clients than BP Unilever or HSBC So there are many attractions to investing directly in overseas companies. But to invest in any company directly quite rightly obliges us to undertake detailed and disciplined research to establish where value lies. Indeed one of the most frequently used arguments as to why it is only appropriate for us in the UK to look at and analyse UK companies is our access to the research required to make an informed decision. However more and more it is possible to access research into companies all across the world both using Canaccord Genuity s own research resources and also third party research. Moreover we have a unique resource in the shape of Quest Canaccord Genuity s proprietary equity analysis and screening system. After a recent upgrade Quest now covers approximately 9 000 stocks in the major markets of the world. This gives us powerful insights when seeking out great investments for our clients. By filtering the wider universe of companies for the characteristics we feel will provide persistently and consistently good returns we are able to create a much more concentrated pool of stocks in which to identify value for our clients. Then by the rigorous application of our own in-depth qualitative and further quantitative analysis and by using a high conviction approach we can build portfolios where we are confident there are powerful underlying fundamental strengths and good upside potential. Investing in direct equities in the UK is a core part of what we do for our clients and is always likely to remain so. However the ability to widen the options available to them and broaden the toolkit by which we deliver the outcomes they demand adds real value to our services. As Bill Bryson so lovingly and Putin s spokesman so dismissively noted the UK is a small island. But as one of the great cultural melting pots of the world it is a wonderful place from which to build out our expertise in investing not just in equities here in the London market but also in exchanges across the world. 43 jsy CONNECT AUGUST 2015 FEATURE Getting the best graduates It s summer and school s out . It also means that we have a fresh new batch of graduates returning to our shores . Sally Gallichan Programme Manager at Yellowbrick .je looks at why employers need to act now to secure the best home-grown talent . FEATURE HR & TRAINING Your business sinks or swims on the quality of your staff and in a small island where finding the right talent and retaining them is not an easy task it s perhaps even more critical that we make the most of our home grown assets. Yellowbrick has been set up to link graduates with local employers offering project-based paid internships. It was born out of a joint need to make graduates aware of the diverse opportunities available at home and to ensure local businesses are able to find and nurture talent. Graduates can bring fresh thinking and a new perspective to your business. What they lack in experience they can make up for in enthusiasm energy and positivity. They re also quick learners and that s increasingly important in today s fast changing digital world. At Yellowbrick we take the time to talk to both parties to find out exactly what s wanted so we can match the right graduate with the right opportunity. That s exactly what we have been doing with local property surveyors and valuers Buckley & Co who have an opening for a graduate intern. The company is expanding and looking for a candidate who might like to go into property and estate management or into surveying. HR Manager Julie Gallon explains We want to invest in our people and like to give opportunities to young islanders who are looking for a career right through to professional qualification. I wasn t sure where to go to find the right intern but Yellowbrick has been very helpful in establishing our business needs and vetting the applicants to make sure they fit our business. The quality of the graduates we are seeing is really good. One such quality graduate is 21 year old Cliona Elliott. She is a local girl schooled in the island and has just graduated from Cardiff University in English literature and language. I m open to opportunities at the moment I m a typical graduate who doesn t really know exactly what I want to do other than I don t want to work in finance. I ve got lots of friends in the same position as me but it s harder to find non-finance related opportunities and that s where Yellowbrick has been helping me. Yellowbrick wants graduates who are willing to learn and willing to get their teeth stuck into something. I m keen and I want to learn rather than just get given a job to earn money. Yellowbrick isn t just about linking up the right candidates with a potential employer we also offer training for both parties. We have recently run a course for employers to look at how best to prepare and make the most of an internship and we have held CV workshops and project management training for graduates. Ensuring you know exactly what you are looking for in an intern and then preparing for their arrival is important if you re to get the best out of them. For example if you re not absolutely clear what project the intern will be doing then you can t hope to find the right skills and you won t have confidence in them. There also needs to be a structure in place that will allow for regular feedback and reviews to ensure both you and the intern are making the most of the opportunity. If you give the intern interesting and challenging tasks you will increase the potential for them to deliver something special and you are more likely to retain them. In Jersey we are not a manufacturing economy what is vital is our knowledge and skills - these will make our workforce stand out from the crowd. Employing talented graduates is essential to our businesses and our prosperity. We produce plenty of intelligent dynamic young people each year who go off to University. We need to attract them back to play a productive part in our economy not lose them. To be prosperous and have a sustainable future without needing to import skilled labour we need to not only grow our own but ensure they come back to their roots and play their part in our businesses and island life. How can Yellowbrick help employers Sign up at and we will visit to help assess your needs before screening suitable graduates for you. How can Yellowbrick help graduates Recent graduates (graduated within the last 3 years) are able to register and then have access to a diverse range of paid internships. For example Buckley & Co are looking for a graduate they can train through to professional qualifications while there are also other diverse opportunities in marketing education engineering and agriculture. 45 jsy CONNECT AUGUST 2015 FEATURE By Alex Morel Managing Director of ALX Training Shortly after his UK budget speech the Chancellor turned his attention to the problem of the UK s declining productivity levels. No doubt aware of the challenges his government will encounter further down the line if the UK s productivity continues to fall George Osbourne has developed a productivity plan that among other measures includes raising the national minimum wage. The problem for the UK is that give or take a couple of percent the country s productivity levels are 30% lower than those of the USA France and Germany. This takes the shine off Osbourne s claims of economic strength making it understandable that he wants to focus on the problem. Unfortunately for all his planning the CBI has called out the Chancellor saying that the problem is not wages so much as it is a chronic shortage of skills. Without the proper training and skills development the productivity problem is only going to get worse. Jersey Productivity (Per FTE) Productivity Per FTE ( ) 90000 80000 70000 60000 50000 40000 30000 20000 10000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Year 46 AUGUST 2015 jsy CONNECT Jersey s economy may be different from that in the UK but one thing we share is a sharp decline in productivity since the turn of the Millennium. FEATURE HR & TRAINING Skills Training Can Solve Jersey s Productivity Crisis As you can see from the chart Jersey is in the midst of a productivity crisis. In 2001 every full time equivalent employee in the island was producing 84 000 per year. Just four years later that had fallen to 78 000 by 2010 the decline had accelerated down to 68 000 and by 2013 every FTE employee in Jersey was producing 20 000 less than at the start of the century with just 64 000 being generated for the economy. The downward trend is concerning and not just for politicians who don t have a great set of tools at their disposal to address the issue. They can increase the minimum wage and implore bosses to increase wages in the hope that this creates an incentive for workers to increase productivity but the reality is that it is companies themselves that are best placed to slow and ultimately reverse the decline. Work smarter not harder One of the many roles of a business leader is to encourage their workers to produce more but one of the many fallacies surrounding productivity is that it grows as we work harder. The reality is that it is not hard work that will stem the decline instead it is smart work . By working more efficiently staff are immediately able to produce more for the company without having to put in more hours. One of the best ways to achieve greater efficiency is to make sure that staff are able to properly use the tools they use every day. At ALX we constantly see staff in island companies who are unable to use their everyday working tools in an efficient and effective manner. For too long bosses have assumed that because a tool like Microsoft Word or Excel is in everyday use then their staff must know how to use them properly. Unfortunately the truth is that without the proper training thousands of island workers are using these tools inefficiently reducing software that can be a great help in automating processes to little more than digital notebooks that require constant attention to keep them up to date through very manual processes. Island companies can significantly increase efficiency and therefore productivity by simply investing in training on everyday workplace tools. ALX helps companies by supporting staff as they move over to a new piece of software or upgrade to newer versions. We also work with individuals to identify which workplace activities can be accelerated by using technology more effectively. These simple steps create marginal gains that cumulatively lead to significant performance improvement across the whole organisation making it more efficient and more productive. 47 jsy CONNECT AUGUST 2015 PROMOTIONAL FEATURE Branding the Games WITH over 2 600 athletes and 640 officials from 24 competing islands and with enthusiastic crowds at all 36 participating venues the Natwest Island Games XVI Jersey 2015 was the biggest in Games history . A project six years in the making managing director Richard Lumborg looks at how The Idea Works helped deliver a festival of sport and friendship that captured the imagination of both the Jersey public and visiting teams and supporters . Back in March 2009 The Idea Works were approached by Education Sport and Culture to put forward a brand presentation in support of Jersey s bid to stage the 2015 NatWest Island Games. Just over 15 months later following a hard-fought election campaign the International Island Games Association awarded Jersey the right to host the NatWest Island Games XVI beating Gotland by just a single vote. Since then we ve worked in partnership with the Jersey Natwest Organising Committee to deliver its stated ambition of giving all competitors and competing islands a time to shine . Having played a pivotal role in co-ordinating all visual elements of the initial bid the foundations of the brand were already in place and we ve continued to develop and extend it across a multitude of different projects most notably the branding for the Games Village in Howard Davis Park (and the Island s arrival and departure points) the souvenir programme and other official merchandise as well as the all-important Games medals. The brief given by the Organising Committee was to create a set of medals that reflected the spirit of the Games with elements unique to Jersey and our winning design successfully incorporated both the Island s history and heritage - through the use of the three heraldic leopards on Jersey s coat of arms with the 48 AUGUST 2015 jsy CONNECT PROMOTIONAL FEATURE The Idea Works medal design meets the design brief in every way the Jersey NatWest Organising Committee unanimously voted these medals the clear winners . Steve Bailey Games Director NatWest Island Games XVI Jersey 2015 shapes used in the Jersey 2015 logo which joined together to symbolize a competitor in action. For every visual element on show during what was a fantastic week of sporting action from a numbered baggage label system for visiting athletes to signage bunting car stickers and social media - we ve been responsible for the entire Games marketing collateral from beginning to end. And anyone playing any part in the Games would also have been carrying an official accreditation pass and lanyard designed by the team at The Idea Works. The brand we ve created has helped shape the experience of the NatWest Island Games XVI Jersey 2015 and we hope that it s helped to take the Games beyond just sport and into a celebration of culture and friendship. Over the past five years it s been a pleasure to work with the organisers sponsors and other key partners and suppliers - all of whom have gone to great lengths to put on a memorable event - and it s been heartening to have received so much positive feedback not only from those involved but also from other local companies and branding and marketing experts all of whom have complimented us on the strength of the branding. the organisational journey and have demonstrated the flexibility creativity and dependability needed to make these Games shine. Karin Wery Games Administrator NatWest Island Games XVI Jersey 2015 For us and for everyone associated with Jersey 2015 the aim was not to try and better any previous Island Games but to make it unique to Jersey and help foster the spirit of community that make these the Friendly Games . We think we ve helped achieve that aim and we d like to thank all the competitors supporters and volunteers for making the NatWest Island Games XVI Jersey 2015 truly special. 49 The Idea Works have been an invaluable partner not only helping us to produce all the marketing collateral but also to providing guardianship of the NatWest Island Games XVI Jersey 2015 brand. They have helped us to find answers to many of the challenges we ve come across along jsy CONNECT AUGUST 2015 GLASS HALF FULL Royal Road Minerals Ltd GLASS HALF FULL WITH Donna Pugsley T he mining industry is one that relies heavily on a solid track-record and experienced management something that gold explorer Royal Road Minerals Ltd has more strongly than most. As one of the many onshore mining and natural resource companies to have set up a corporate office in Jersey it has opened its doors to local graduates giving them an opportunity to get involved in an industry which is like no other. Working in the mining Industry for the last four years has been a whirlwind experience for someone coming into it as na ve but ready for the challenge. Jersey is now a hub for many mining companies with Locate Jersey having done a great job in showcasing the Island as a great place to host a business and enticing some well-known industry names. As a Jersey girl and after returning to the Island following seven months travelling I never anticipated 50 myself getting a career in the mining sector - but with the busy life-style and worldwide travel being an added bonus it s exceeded my expectations. Royal Road did not start its life here as it stands today. Formally known as Tigris Resources Limited Royal Road was set up in 2010 as a private company and recently (April 20th 2015) undertook an international public listing onto the TSX Venture exchange in order to enable the company to access more investor capital to grow and expand its exploration work in Turkey. When my CEO Tim Coughlin left our previous company in 2014 to take its sister company in Turkey into a separate shell (effectively starting at the very beginning again) I jumped at the chance to move on to a new challenge under his leadership once again. As a small company it is all hands on deck which means everyone has to help out where they can. This makes for a diversified week in the office that is exactly the way I like it when trying to get experience from all areas of the business. One minute I will be talking to fund managers analysts and investors from Canada Europe USA then I ll be organising an international conference for the company to showcase itself and the next I ll be working on marketing promotional materials. Taking the company through its recent international listing and a full re-brand (at the same time) has been hard work exciting and rewarding. It has opened up a lot of new doors for Royal Road and is also a great promotion for Jersey as a business destination for companies within our industry. Having the company headquartered in Jersey has many benefits and with the island s political and economic stability and a sophisticated and comprehensive legal infrastructure its made the listing process a lot easier for everyone involved. AUGUST 2015 jsy CONNECT L I NCH AU U AUG NG 1 T 20 S 5 NO MEN IN HIGH HEELS. NO TOY ROBOTS. NO MEERKATS. JUST THE MONEY YOU NEED AND A REPAYMENT PLAN YOU CAN AFFORD. You can now apply for a loan with Jersey s leading lenders at Simply go to jsy finance JERSEY NEWS & CLASSIFIEDS BUSINESS ADVISER Business Adviser GET IN TOUCH... If you ve got a business question you would like to put to John please email editor Time to mend the roof T he dust is beginning to settle in relation to George Osborne s 7th Budget and the message of a lowwelfare and low tax society seems to have been well received by most parties. Besides the areas of specific concern domicile residence etc. which will exercise the minds of finance industry professionals for months to come was there anything that will affect the man on the street in Jersey and were there any pointers in the radical plans put forward which Jersey should be taking on board to help us grow For the retail industry the Chancellor has completely relaxed Sunday trading. Jersey seems to still be stuck in the dark ages around Sunday trading. For many Sunday is already just another day. The living wage has brought both praise and criticism in equal measure. Given the high cost of living in the island can we afford not to do it - but on the other hand given the present economic conditions can we afford to do it The Chancellor reinforced his ideal that you should always fix the roof before it is raining and in times of uncertainty has offered tax reductions in the areas of corporation tax (corporation tax in the UK will reduce to 18% by 2020 which is less than the rate in Jersey that applies to some companies) increased exemptions from Inheritance Tax for the family home 52 and also increased personal allowances. Should Jersey apply Probate to the family home Wide-ranging welfare reforms have been introduced to ensure that the working are better off than the unemployed (including the controversial 2 child cap) - could Jersey follow suit By creating greater employment opportunities would we actually be able to relax the vice-like grip that the Government puts on specialist employment expansion in any arena other than finance and government itself as it is clear that the For many the tax payable in the UK is now substantially less than it is in the island. Looking beyond the domestic measures and ideas there are three areas that may affect Jersey residents with connections to the UK 1. if you are of UK origin then double check the new domicile changes as this could affect your wealth on death 2. if you have UK property the new rules bring UK residential property into the UK Inheritance Tax net and 3. there were also income tax changes that could increase the tax you pay on your UK rental income. The Jersey tax system is now overly complicated and the amounts we pay seems to be increasing fast. The Long Term Care contribution is based on your income and collected by the Taxes Office if it looks like a tax and smells like a tax so it is probably a tax. Doing nothing and waiting for others to do something in recent years has achieved very little and I do not believe that the current group of local politicians has the ruthlessness of the Conservatives to put the economy back on track. The one measure that is clear is that one needs to take responsibility for one s own business and lobby hard as it seems still that there are some storm clouds on the horizon and we have yet to mend the roof. 7 o Columnist JOHN SHENTON Grant Thornton Business skills are not present in the island in many areas. There were more public sector cuts and a very modest (below inflation) fixed pay rise for public sector workers to control the ever-expanding public sector. Again Jersey has promised much and delivered little in this area. There was a continuing trend of clamping down on tax avoidance planning and evasion so they can make sure people pay the tax that s due which should eventually lead to a fairer society - but life is never the much-hyped level playing field. AUGUST 2015 jsy CONNECT We advertised for new staff on Bailiwick Express and were really delighted with the number of excellent CV s we received in fact we got so many we had to close the campaign early. Express was really effective and delivered excellent value for money. Alistair J. Rothwell Bracken Rothwell Reach 1 000s of Jersey jobseekers for just 25 per week Getting the right employees is key to all businesses and our jobs website and email is just what they are looking for. If you need to recruit simply go to jsy jobs create and post your jobs online TODAY JERSEY NEWS & CLASSIFIEDS I d say all enforcement staff are firm but fair and I think we re doing a good job . UNPLUGGED Y Unplugged In each edition of Connect we enable someone in the news to speak directly to you in their own words... Unplugged. What you are about to read is a transcript beyond minor changes to punctuation and syntax to aid clarity these words come directly from the person who uttered them. Read the Full Interview jsy CONNECT AUGUST 2015 55 Y Unplugged Jail for serial liar who tried to buy trust company. Is that a good or a bad headline for Jersey The case of Andrew Fleming is just one of a series of high-profile actions which have thrust Jersey s regulatory regime and the Jersey Financial Services Commission (JFSC) as the regulator into the media in recent weeks. Does it show that top level con-men are trying hard to penetrate the Island s defences or should the focus be more on the fact that those defences worked this time Will the effect be to place even more attention on compliance meaning less risk-taking (less business ) and potentially still higher costs for regulated businesses Regulation is a topic that is of fundamental importance to the financial services industry but one which because of the above issues is also controversial. Where does admirable attention to detail end and unnecessary (and expensive) nit picking begin At the JFSC the man charged with finding the right balance is Barry Faudemer Director of the Enforcement Division. He spoke to James Filleul and began by setting out the Division s normal workload BarryFaudemer o Photography By Glen Perotte Barry Faudemer The enforcement division deals with approximately if you average it out over the last three years one hundred cases a year so if you strip out requests that we receive for assistance from other regulators (roughly about a 20 a year) there are 80 substantive cases that we investigate per annum. We see businesses being tempted to relegate the importance of compliance in their order of priorities. We understand that businesses need to chase business but they ve also got to be very mindful of their compliance obligations and sometimes that slips. There s a temptation to on occasions focus on the acquisition of business rather than looking at the risks posed by that business or complying with the rules set by the regulator in our Codes of Practice. Comply with me.. Got a story to tell Get in touch email us at editor That is or can be disastrous for a business because if they allow someone to navigate past their anti-money laundering defences then they can find themselves in a very difficult position placing not only their reputation at risk as a business but also placing the Island s reputation at risk. UNPLUGGED We understand that compliance comes with a cost. We fully understand that but we also see that if someone successfully navigates their way through a company s anti-money laundering defences then there are massive costs that flow through with that breach. James Filleul Do you worry that those costs are putting people off going into the industry BF No I don t. I think our industry is very well trained and very well prepared and I personally think Jersey is ahead of the game and offers an excellent service - we get some great examples of good screening of clients and risk assessments of clients. It s very easy just to focus on the bad behaviour which is my world but actually we see a lot of really good work from businesses out there. For example the likes of Mr Fleming a con-man seeking to purchase a local trust company he s a classic example where the anti-money laundering defences of the Island and I include businesses in that who are an integral part of those defences and those defences worked and as a result Mr Fleming was identified and arrested by the Police and he was successfully prosecuted. Working with the firm concerned we were able to protect a trust company and that trust company is still successfully trading and we were able to protect clients within that trust company so that s what it s about really making sure everybody is at the top of 58 AUGUST 2015 jsy CONNECT the game and they re compliant with the rules and that our defences are robust as they possibly can be to keep the likes of Mr Fleming from creating havoc and cost in our industry. JF Isn t it much easier for big companies with all their resources to comply rather than for small entities BF Well I think we have seen consolidation within the trust and company business sector - of that there is no doubt. Equally we do see some small players who have very effective compliance functions and often it s down to the calibre of individuals that they have employed in that compliance function and that they have been very successful in securing new business and avoiding some of the pitfalls that I ve just talked about - so it is possible for even a small business to be very successful provided they have a culture of compliance within their own business. I think the culture is very very important because it is led from the top and led by the Board. It permeates down to staff and I think that s easier to achieve with a smaller business than a bigger business. JF As the Commission which would you prefer Would fewer large companies be easier to regulate than lots of smaller ones BF Well it s swings and roundabouts really because if you ve got large companies you run the risk of larger problems and trying to deal with those can be UNPLUGGED b really challenging. So a smaller business is probably more agile and able to fix a problem when it occurs. But equally a larger company for example part of a group could call upon additional resources to supplement their numbers to try and resolve the particular problem and that s also useful. JF It s been a tradition in Jersey for an entrepreneur to start their own business maybe a trust company or a boutique law firm are you seeing that happening less and less and the industry trend moving towards the global entities BF I think that s a fair point. We see a number of private equity firms purchasing regulated businesses and looking to increase their client base through acquisitions so I think the organic growth that you re talking about is probably waning but we re seeing an increase in private equity type acquisitions. JF Does regulation facilitate the trend towards big global entities or discourage it BF We are facilitators of business. I think it s interesting because people want to come to Jersey because it s a well regulated safe jurisdiction in which to do business and that in itself is an attraction so we need to be firm but fair - but we also need to be sufficiently flexible to encourage growth and businesses to the Island but that s not at any cost. I think there is a standard to be achieved and we certainly don t want the likes of Mr Fleming coming I think we have seen consolidation within the trust and company business sector - of that there is no doubt . into our jurisdiction and setting up his own trust company for example. JF If you were deciding how to progress with an investigation would the size of a company and the resources that it had be relevant or not BF Well we look at if there s a problem how systemic the problem is how it can be fixed how it can be remediated so we do encourage candid engagement from a business to come and speak with us. We re very interested about their own plans and how they envisage dealing with the issue or problem that s actually occurred so setting a dialogue at a very early stage is something that we re keen on and I think has been pretty successful over the years. Many cases don t result in enforcement action. I talked about 80 investigations in a year but we re probably only issuing about half a dozen public statements. So there s a lot of fixing through remediation and discussion and cooperation with the business to try and deal with a particular problem and we feel that is very important. jsy CONNECT AUGUST 2015 59 UNPLUGGED JF You characterised the approach as firm but fair - is that how you see it BF Yes. I d say all enforcement staff are firm but fair and I think we re doing a good job. We re not going to please everyone because you re going to be unpopular sometimes when you re enforcing the law and we fully understand that but I think most people understand that with mature reflection and after the event why enforcement action was necessary. You see lots of examples where firms come to us and say they didn t realise they had a problem. We identified it perhaps through the work of the Supervision Division going on site turning over files and having a look at the business and identifying something serious and perhaps escalating it to Enforcement. And then really substantial changes are made to that business and then the Enforcement team pack up their tent and move on because it s mission accomplished. JF Where does compliance stop though You can t keep having to do more and more to comply. There must be a limit somewhere. Where is that BF Well Jersey follows the international standards and so you re quite right there is a balance to be achieved. A business that takes no risk at all is unlikely to be a profitable business so balancing the risk with reward and taking a sensible view on the risk to your reputation and the risk to Jersey s reputation the anti-money laundering risk etc. are really key and it s a difficult balance to achieve sometimes. I m not saying this is a world that should be totally dominated by compliance but it has a key role to play an absolutely key role. If you have a weak compliance function or no compliance function at all then you re in serious trouble and I base that on the cases that we see coming to our attention - because if you analyse them in the cool light of day and say ...what would have avoided this disaster from happening every time they did not have had a culture of compliance 60 AUGUST 2015 jsy CONNECT or a robust compliance function they may have said we re not going take that business or ...perhaps we should ask some further questions and really have a deeper understanding before we take this client on or before we make this payment. JF Isn t that just the beauty of hindsight though BF Hindsight is a wonderful thing yes absolutely but I think when you look at some of these cases the red flags are there and the red flags are being missed. I don t think that you will ever have defences that are 100% to an extent that you could prevent everything from happening. I think that s unrealistic. But I think you can have defences where you expect people to ask searching questions. JF The company is there to make money though and they will push as hard as they can in order to do that BF Absolutely and I think this is where you need someone who is a robust compliance officer to say ...let s just look at the information and evidence that we ve assembled. Let s just look at the risks and the potential costs if this goes wrong. Let s not rush into this. Let s give a great deal of thought to how we can minimise those risks. Could we structure it in a way that we will have very good oversight of what is happening here. What control will we have So there are strategies that you can put in place to try and reduce that risk. JF But if you think about it too long then you might lose the business to a competitor BF Equally if you take a client who turns out to be a Minister from North Korea and not South Korea as you initially thought and then you find yourself possessing a vast amount of money potentially in breach of sanctions potentially money laundering - a whole host of potential breaches and international enforcement getting very exercised and interested in what you re doing then trying to unpick all of that can be hugely expensive and not only in monetary terms but in terms of reputation as well. JF Ultimately though surely the most compliant business has no business BF This is where there needs to be a balance between compliance and business. I agree with you. If you re got a company taking no business because they ve got such a robust compliance function that s disastrous as well. JF What s the big policy objective for this year BF My aim is to reduce the amount of enforcement cases. I would be very happy with that. To make the industry a more compliant safer place in which to do business. I think it is safe at the moment but I think we can do even better. JF Do you think the industry understands what you do and do you think it s appreciated BF No I don t think it is fully understood. I think we ve got a message there to communicate not just to the industry but the wider public as well so that they understand what we do day in day out. The regulator is here to set standards. It s here to help protect investors. It s here to help prevent financial crime in Jersey and elsewhere so we have very clear guiding principles and I don t think those are fully understood at times - and of course the majority of work that we do is not subject to a public statement so people don t see it. People don t see when you have the company that s on the verge of insolvency and we need to work with that business to try and get them back up on their feet or get them to merge with another company to get them into a safe harbour. No one sees that work. They might read a few lines about the merger but they don t see all the effort and negotiations that have gone on behind the scenes and we can t trumpet that. We just need to quietly get on with ensuring that Jersey is represented in international bodies and participating in the inspections we re in the process at the moment of going through the MONEYVAL inspection and making sure we accurately present how things work in practice to MONEYVAL and providing that evidence to them is a significant challenge. JF Do you enjoy it BF I really enjoy ensuring a successful outcome to see a business flourishing but ensuring that we bring those people to book who have placed the business in a very difficult position because of the way they ve managed it. I think it s a critical job that we do here at the Commission and if you think back to Mr Fleming. If he had been able to successfully purchase a trust company and he was a top draw con-man he was going to have access to probably 1 000 clients and their assets. Successfully protecting that business and seeing it carry on yes I think that s very rewarding. END VIEWPOINT E Viewpoint Retaining the best staff isn t just about money... you must also think about... Viewpoint puts forward a key question facing one of the Island s main industry sectors and then a group of leading practitioners give their take on the answer and what it means for Jersey . If you would like to be included in a future panel of experts just email editor bailiwickexpress .com Strategy culture and values I was once told that every lawyer eventually finds the firm that s right for them. This is a recognition that there are downsides to every organisation but that employees look for a firm where the particular downsides don t cause them as much angst as others Work on your strategy and communicate it but don t assume that that s enough. Employees are attracted to a firm s culture and no strategy can work without the right sort of culture. Relationships respect diversity and inclusion identify and look after your good people. Help employees to build strong working relationships in an organisation which fosters a culture of respect for each other where differences of every sort are valued. Understand how people work and think and how to get the best from them. Listen to your people and be respectful (but that doesn t mean shying away from difficult conversations). Career progression and personal development be clear about what is expected of people tell them when they are performing well and when they are not. Look for opportunities for personal development with employees. Don t make promises you can t keep. Recognise that sometimes you can t offer what people want and it might be right for them to move on. Don t let that take you by surprise have a clear succession plan. Retention is not just the province of HR if you are a manager this is your job too. Money isn t everything this isn t a problem to just throw money at However you can t ignore remuneration and benefits in the widest sense. Think beyond salary for incentives like flexibility in working hours and arrangements. Helen Ruelle Partner Mourant Ozannes 62 AUGUST 2015 jsy CONNECT VIEWPOINT Zo Blomfield Managing Partner Viberts ...what else will motivate your staff and encourage loyalty. Many employees value training and development opportunities more highly than financial reward so employers should offer these readily. A career progression plan should match personal goals and ambitions so it is important to treat each employee on an individual basis whilst also being focused on fairness within an organisation. Employers are not always able to offer generous pay rises or bonus packages but sometimes the working environment and working relationships are more important considerations for an employee. Being comfortable at work and feeling supported and valued are often key influences on an employee s happiness in the workplace. The effect of the culture in the work place cannot be under estimated. This has a direct bearing on staff retention. It can be challenging for employers to change a culture but this can be achieved with a positive performance management system and by employing the right type of people for your organisation. A culture has to be organic and whilst it may sound crass it emanates from within an organisation and from its key people. Employees very often want an employer that can offer flexibility not just in working hours but in its approach. As well as being family friendly organisations should also consider the individual needs of their employees. In my experience if an organisation looks after its staff the staff will be loyal and diligent in return. Whilst it is inevitable that some employees will move on it is desirable to retain a significant and core group of staff. Treat others how you would want to be treated goes a long way in the work place. ...providing the best service. At First Names Group we believe that finding and nurturing the right people directly results in the delivery of superior client service. We are always looking to attract the very best people to drive business success. The Channel Islands is a highly competitive marketplace and especially with a brand like ours that puts its people at the front and centre and encourages excellence and training you are at constant risk of people being headhunted by competitors. Extensive studies have shown that while remuneration is important the key to keeping your workforce happy and motivated is making sure you look after them. It s simple but effective by investing in professional development and encouraging individuality employees can give companies that all-important edge which clients and professional intermediaries value so highly. Sarah Richford Talent & Resourcing Manager First Names Group We place high expectations on our people but equally we make the commitment to help them prosper. By welcoming innovation and promoting constant learning it encourages ownership of knowledge and skills. We listen carefully to the thoughts and suggestions our First Names contribute their contribution and imagination helps drive the Group and create our unique culture so it s invaluable. This level of engagement correlates directly with personal fulfilment real job satisfaction and happiness. Strive to create an authentic workplace with a high level of selfawareness but also do not ignore self-interest. We are proud of our coownership approach as it supports and empowers our first names to enjoy what they do and know they have a share in the success of the business quite simply produces better results and engagement every time. jsy CONNECT AUGUST 2015 63 VIEWPOINT Tim Childe Head of Jersey office Quilter Cheviot We believe helping talented people to fulfil their potential is key to ensuring they stay with us. Employee retention is hugely important to Quilter Cheviot because our business is built upon long-standing relationships. Length of service is a fundamental part of our bespoke offering. We build strong relationships with clients based upon stability and trust and some of these relationships span generations. Incentivising talented employees is absolutely essential and we know that financial remuneration is only part of what keeps them at Quilter Cheviot. Reward and recognition will always be a driver of course and we operate a fair and transparent reward strategy that is designed to reward and motivate individual employees. Recognition can and should come in various forms and we place a focus on effective internal communications to enable successes to be shared and individual achievements to be celebrated. Importantly we recognise that passionate driven individuals seek continuous professional development. So we invest heavily in nurturing internal talent through a dedicated training scheme. We ensure all employees have the technical and professional skills (including professional qualifications) required to enhance their career path and achieve their full potential. Making people feel valued is our ultimate aim. It s an approach that has enabled us to benefit from years of service from accomplished members of our team. Indeed a member of our Jersey team Rebecca Sturgeon is currently celebrating her 20th anniversary with us. She joins a number of her Jersey colleagues who have served more than 20 25 or even 30 years at the company. These are fantastic milestones and testament we hope to our holistic retention strategy that looks beyond monetary reward. There are a number of strategies you can employ to engage motivate and ultimately retain employees the key is to distil down to a handful the ones that will really make a difference Recognition this is where it is easy to simply look at the remuneration package but in fact more often than not it is the stuff around the edges that will have the greatest impact. Celebrating success when a piece of work has gone really well can have a huge effect. It s so easy to simply move onto the next transaction when in fact we should always take the time to acknowledge the effort at the point it has happened. Development people want to progress and get better at what they do. Seeking out opportunities to stretch individuals on the job is a really easy way to satisfy that need. It can be working on a project that may take them out of their comfort zone working with a group of people they wouldn t ordinarily be with looking at seconding them outside of their immediate team and even potentially partnering with clients to offer external opportunities. Communication sharing with and listening to employees sounds simple but can be easily missed and will make or break the relationship if not taken seriously. Give employees the opportunity to input ideas and keep them updated on what is happening with those ideas and more generally around the business. Helping employees understand the part they play in making your business a success will go a long way to ensuring they stick around. Sue Lincoln HR Director Ogier People want to progress and get better at what they do . Seeking out opportunities to stretch individuals on the job is a really easy way to satisfy that need 64 AUGUST 2015 jsy CONNECT VIEWPOINT Fully equipped meeting rooms in the heart of St Helier Chris Cotillard Director Alex Picot Trust Attracting and retaining the best staff is always an area of great focus for us as a business. Recruiting staff is an expensive and time-consuming process particularly for a medium-sized business like us. Clearly money is a motivating factor for most people but from our experience it is only one of many with perhaps greater emphasis placed on the other factors. We provide an excellent work life balance we are happy to accommodate part-time or term-time-only working hours we do not encourage employees to work overtime as a general rule and as working in teams forms the basis of our daily working lives social interaction and having a laugh with your peers is encouraged. We have an active social club that staff are given the option of joining which organises events regularly from rounders to wine tasting to a Tennerfest meal. In addition there is a whole office summer party to which partners and children are invited as well as two Christmas parties. The last Friday of each month is also a whole office gathering at 4.30 for drinks along with a dress down day for a chosen charity. In addition to the social aspects discussed above having the peace of mind of additional benefits such as employer pension contributions private medical insurance permanent health insurance and life assurance cover at no cost to the employee is always greatly appreciated. Meeting Room 1 Seating capacity 10 Meeting Room 3 Seating Capacity 12 Facilities Laptops & projectors available High speed WIFI Whiteboards & flipcharts Refreshments Lounge area Break out room Reception services Fees TAKE PART Would you like to be one of the industry experts contributing to Viewpoint If so please contact us via e-mail on editor 35 per hour Daily Discount 190 Hilary House 19 Hilary Street St Helier Jersey JE2 4SX 01534 873785 07797 774676 admin Got a story to tell Get in touch email us at editor Follow us jsy CONNECT AUGUST 2015 65 WHO S THE FOOL Who s The Fool Pay more or move to Scunthorpe o Illustration By Mark Jackson 66 AUGUST 2015 jsy CONNECT WHO S THE FOOL T wenty years ago in the dawn of publicly available e-mail the internet service provider AOL inadvertently blocked residents of Scunthorpe from opening accounts. In its desire to present a spotless public image the company s overzealous profanity filter decided that Scunthorpe along with one assumes residents of Shitterton in Dorset Dildo in Newfoundland Wankum in Germany and probably in this instance quite rightly the Arsenal Supporters Club were to be denied access to the world of electronic communication. Other than providing us with a comedic view of puritanical American business practices this decision gave the world a wonderful new term the Scunthorpe effect. Along with other examples such as the Cobra Effect (colonial Britain s doomed attempt to rid Delhi of cobras wiki it its possibly the best Carry On film never made) and the Peltzman effect (the incidence of increased risk taking in the presence of attempts to reduce risk) it appears that given the opportunity people have a remarkable ability to act against their own best interests. A recent example of this was the decision by Greece s leftist Syriza government who when backed into a fiscal corner by their creditors decided to hand grenade their own careers by holding a referendum on the introduction of further austerity measures designed to bring their budget into some semblance of balance. Perhaps unsurprisingly and indeed at the behest of their own government the people voted no lower pensions and higher taxes were not in fact things they fancied and their leaders should tell Europe so However given the unfortunate fact that it is creditors who get to dictate repayment terms rather than debtors this served little purpose other than proving to the Greek people that the politicians they had recently put into power were unable to deliver on the promises that had seen them elected in the first place. Bonkers. (It was perhaps unsurprising that the finance minister a supposed expert in game theory resigned shortly afterwards. Experts huh ) Whilst we may not have problems of the magnitude of Greece our own little paradis fiscal is going through a difficult time at present. Our overspending problem means that we need to come up with ways of saving 145 million a year and the choices are pretty simple either we cut spending increase taxation or as is most likely a combination of both. Much as Greece is experiencing at present the result of years of letting politicians spend money we haven t yet received is that whether you are a middle income earner a public sector employee or a member of some other long suffering cohort years of getting stuff we can t pay for in cash means that all solutions figure somewhere on the scale of ouch that hurts. All of them except one. If the private sector makes more money tax revenues will rise accordingly. If recent profits for the finance industry are indicative of a long term trend our major income producer is on the up with a rise of 290 million over the previous year. Now further growth in the sector does not come without costs. Whether it is a larger population bigger uglier buildings or most gravely a rise in the idiots in suits braying into their mobile phones about the next big deal index there is always a price to pay. Of course I realise that I am talking my own book here but if the protestors who wished to see the new financial centre founder on the rocks of over optimistic political ambition had got their way we would have saved a car park and lost a potential opportunity for the island to make a profit and so potentially reduce our fiscal malaise. Now this may be a little unkind but unless the internet is right and the local media really is engaged in a wholesale criminal deception of the people the coverage afforded the events showed an overwhelming demographic of those who were likely to be how can I put this delicately net recipients of the system. Now unless those same people or the growing number who seem to have time in their day to clamour for the public sector to spend time working out such things as whether naturists can wed or dogs should wear cycle helmets during the daytime on beaches can come up with an alternative machine that spits out more money from one door than it takes in from another the future prosperity they are most endangering is often their own. Scunthorpes indeed. WHO S THE FOOL 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... 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 . jsy CONNECT AUGUST 2015 67 g A winning formula A PHOTOGRAHY No Ordinary Day Job Robbie Dark 2 words Julien Morel NO ORDINARY DAY JOB T he Mansell Collection at First Tower was flush with motoring pedigree before it opened its doors. But two-and-a-half years later the business hasn t rested on its laurels. With Leo Mansell in the driving seat but with dad as team principal it has gone from strength to strength not least by taking on the Island dealership for one of the most innovative manufacturers in the world. Julien Morel went along to kick the tyres. Crawling along the Inner Road at rush hour or perhaps stuck behind a bus it is easy to forget that you are metres away from one of the fastest sports cars ever made. Upstairs at The Mansell Collection housed in the beautifully restored art-deco building next to First Tower School sits a piece of motoring history the Adrian Newey-designed Williams FW14B in which Nigel Mansell won the Formula One world championship in 1992. The car complete with its semi-automatic gearbox active suspension traction control and of course Red 5 (rubbing shoulders with Paul Newman). But equally Leo who now has a family in Jersey is building a business for the long-term. And with the Mitsubishi dealership he is partnering a manufacturer that has put the environment and a sustainable future at the centre of what it does. I feel very lucky to be running this business and we are going from strength to strength said Leo sat in the upstairs boardroom with its cool-white d cor motorsport artwork and mighty metal sculpture of two eagles grappling for a fish. Since we opened in 2013 we have quickly built a strong customer base. At first some people thought we would just be selling top-end supercars but they soon released that we catered for everyone as you need to do in an island with a limited population size. Jersey has been my home since I was 13 so I know the Island and know how important customer service is. Yes my dad s influence and museum is an important part of who we are but when it comes to buying and selling cars it is all about what we offer and how we support our customers. And if to reinforce his point on the day that Connect met Leo work was due to begin on the next phase of The Mansell Collection. After the painstaking restoration of the former garage and the upgrade of the service station down the road to create The Fuel which opened earlier this year a new two-storey service centre will be added to the back of the showroom and museum. The business currently rents space in a workshop at Three Oaks in St Lawrence the Mansells have done so for a number of years - but the extension will bring the four mechanics and two apprentices to First Tower improving co-ordination and efficiency and ensuring that they have the latest tools and diagnostic equipment at their disposal. It is an exciting next phase which is built on the success of the past two years said Leo who as Managing Director runs the business on a day-to-day basis supported by general manager Steve Ainsworth. Although relatively new to the motor trade having first had a career in motorsport Leo has always been fascinated by business and studied economics at A-Level and at university in Florida where he met his Venezuelan wife Emilia. But if an essential part of being successful in the motor trade is to be cogent articulate personable and engaging then Leo is definitely on the right track. Talking of tracks (with every pun intended) he also has the backing of his father who is the chairman of The Mansell Collection and can often be found at the showroom museum when he s in the Island. Dad has obviously been hugely supportive and this is very much a team effort. He has run dealerships in the UK before so he doesn t just have great contacts a respected name and knowledge of the paddock. He is the chairman while I run the operation and we have jsy CONNECT AUGUST 2015 69 Since we opened in 2013 we have quickly built a strong customer base . At first some people thought we would just be selling topend supercars but they soon released that we catered for everyone as you need to do in an island with a limited population size . livery is but one of the many surprises in the gleaming white shrine to the internal combustion engine. Another is the equally shiny cars in the downstairs showroom new and used ones ranging from economical runarounds to supercars. And some are even moving beyond induction and compression (etc) one of the newest residents the Mitsubishi Outlander PHEV is the world s first plug-in 4x4 hybrid SUV. It is an interesting juxtaposition upstairs you find a museum that looks back to one of British s greatest and most respected racing car drivers who 30-odd years ago battled with many of the legends of the sport including Senna Prost and Piquet. Downstairs on the other hand you find a showroom selling cars that look to a future of low emissions and fuel economy. And yet the man bringing these two worlds together is perfectly placed to combine the old with the new. Leo Mansell (30) can reflect on his dad s significant achievements after all he was there when Nigel was crowned Formula One and then Indy Car champion NO ORDINARY DAY JOB We had to work closely with Planning because quite a few parts of the building were listed . Early on we uncovered the massive century-old steel supports . They weren t in the best condition but we wanted to keep them because they add so much character . People who come in love the building because they say it feels like a car showroom . a business relationship as well as being father and son. Together we ve been able to put our mark on it from retaining the intricacies of the building though to introducing the best examples of customer service that we ve experienced elsewhere. Having Nigel Mansell as a dad is largely positive but there are always the doubters who think I ve got to where I am by birth rather than merit. It was more of an issue when I was racing but now we re very much a family business serving our customers in Jersey. Both Leo and his brother Greg who has represented the Island at cycling had spells in professional motorsport in their 20s. After a childhood of karting Leo concentrated more on endurance racing while Greg competed in a Renault single-seater series. During his six years as a professional Leo drove in the famous Le Mans 24-hour twice first in a Ferrari F430 finishing 27th overall and 7th in class and then with his brother and dad in a Ginetta-Zytek GZ09S. Unfortunately their effort in 2010 was cut short after Nigel crashed after just five laps following a puncture. It was the first time that a father-and-two-sons team had competed in the king of endurance races. Although Greg and Leo have now stepped back from professional motorsport they still co-own a kart track near Honiton in Devon so can occasionally return to their racing roots. Like many drivers Leo calls karting the purest form of racing and it is no surprise that he his dad and many Formula One drivers earned their spurs on the kart track. But now with a 14-month-old daughter called Eva Leo has largely swapped bucket seats for carry-cots and he now drives at a more sedate pace although he does own a Mitsubishi Lancer Evolution as you d expect for a former racing car driver. The choice of marque is significant as The Mansell Collection took on the Island s Mitsubishi dealership to create Mansell Mitsubishi last September. jsy CONNECT AUGUST 2015 71 NO ORDINARY DAY JOB Having Nigel Mansell as a dad is largely positive but there are always the doubters who think I ve got to where I am by birth rather than merit . It was more of an issue when I was racing but now we re very much a family business serving our customers in Jersey . It is a fantastic product and they don t tend to stay long in the showroom said Leo. From the pick-up trucks to the compact cars drivers in Jersey like Mitsubishis because they are robust and reliable. And our after-sale care will get even better when we open the new service centre at the back. If taking on Mitsubishi is all about pleasing the public so too is the museum upstairs. Unsurprisingly it has proved particularly popular with visitors to the Island who remember Nigel s long career in motorsport with affection. His route to the top was talent combined with determination he holds the record of competing in the most Grand Prix (180) and being runner-up the most times (three) before becoming World Champion. But that tenacity paid off and Nigel is widely regarded as being one of the finest Formula One drivers of all time. He is the only driver ever to be Formula One World Champion and IndyCar champion in the same season and he is one of only three people to win the BBC Sports Personality of the Year three times. 72 AUGUST 2015 jsy CONNECT NO ORDINARY DAY JOB machines. I have a massive respect for those drivers they had a very different mentality then because you needed as much bravery and commitment as you did skill. I m not a petrol head but I ve always enjoyed trying to understand the technology and the cars particularly when dad won his world championship were a test bed for advances that we now take for granted. Although Leo won t replicate his father s trophy haul he has inherited an interest in property so when the idea of renovating a beautiful but rather run-down Victorian garage that had received an art-deco upgrade in the 30s was first mooted he relished the prospect. We had to work closely with Planning because quite a few parts of the building were listed. Early on we uncovered the massive century-old steel supports. They weren t in the best condition but we wanted to keep them because they add so much character. People who come in love the building because they say it feels like a car showroom. The boardroom and museum are also popular for corporate functions. And so The Mansell Collection led by Leo but with Nigel closely involved goes from strength to strength. It has the management the marque and the ambience to make it a very credible proposition ... the name Mansell certainly help too. END jsy CONNECT AUGUST 2015 73 In a career as long as Nigel Mansell s you win a lot of silverware and he had the foresight to add clauses in his contracts to make sure that he kept most of it including cars. Now his son oversees the museum which includes trophies medals helmets honours paintings jewelry and cars including that ground-breaking Williams Renault. The collection was being stored at Woodbury Park in Devon but when that was sold dad started looking for a proper home and this just seemed the perfect site said Leo. Obviously we can t let people pick up the trophies or jump into cars but we have tried to make it as informal as possible so people can get up close. I would say 90 per cent of the people who visit are tourists so it is another attraction for the Island. I have driven cars from dad s era and they were amazing Would you work with this business TWITTER FACEBOOK LINKEDIN Put a face to your business. We all know the importance of creating a good first impression. At Photoreportage we bring fresh photography to the world of advertising and PR. Working with many of the Channel Islands top corporate companies to produce high quality images that not only support their communication and creative teams but enhance the perception of their business. If you re looking to raise your profile... Contact Gary Grimshaw on info or call 01534 858 571 CO RPORATE C OMM ER C IAL WEDDING JOURNALISTIC P hysician heal thyself. If you cannot manage that then best you find something else to do because it is quite off-putting if the person you call in to help is unable to help themselves. There is lesson there for all marketers let alone doctors especially those who wander aimlessly into the world of private practice in hot pursuit of the golden goose that would surely allow them to keep all the cash they earn. I was reminded of Luke s source words during a voyeuristic break from work. I plunged straight into the car crash that happens so often for a going it alone marketer geared up to change the world of branding as only they know how. Up pops an update from a LinkedIn contact. Someone in financial services. They were smiling knowingly which must have been ironic given what was soon to unfold on my screen. The alert informed me that they had set up a side-line from their full-time and obviously unfulfilling role and embarked on a new website extolling the virtues of their consultancy skills. Oh the horrors of clicking through to this one However before we return to this like a curious dog to its vomit perhaps a quick review of what is happening in the world of digital right now if only to give this story some context. For the huge shift that has taken place in the world of digital marketing appears to have entirely passed by this new marketing consultant. Digital has gone mobile. Fairly important stuff. Like blood. For the uninitiated I would argue this shift can be broken down into three key stages. Stage one our customers bought a mobile device. They are now mobile and interacting with the Internet using these devices at a rate of 85% of all online activity in the western world. Stage two someone somewhere in marketing noticed. This happened arguably sometime after the customers had already moved. I would guess the bounce rates took a hit on a few thousand e-commerce sites and an intern decided to identify the why The delay in re-finding those customers would certainly account for all the websites that persisted with appearing suitable only for the Borrowers so small were their appearance. What you saw on your desktop you could now view on your mobile only much much smaller. Stage three Google amended its algorithm to reflect this move into mobile. It was launched on the 21 April to be exact and showed the power of Y Marketing Forces o Columnist CHRISTOPHER JOURNEAUX mobile devices to reach our customers was not a confirmed fact not until Google made it true. So we hugged one another like long lost family reunited and got back to the business of selling. The rules were largely the same but the stage had changed. There is perhaps one further stage and this one lies a little bit in the future let s call it Stage Stupid. This is the point at which website providers finally stop offering responsiveness as an option with an additional cost rather than given functionality. Like when you go to the car showroom and the engine comes as part of the package. Your car minus an engine is kind of pointless so there is an unspoken agreement between you and the salesman that you will get the engine. If up to 85% of Internet activity is taking place through mobile devices responsive websites are as critical as engines in cars. I will not quote from our consultant s website. Not to hide their identity but because it might spark a sudden interest in retro-digital marketing for people with incredibly powerful eyesight. That would be a great shame for a profession that keeps striving to meet customer needs. Instead I will corral four random recommendations to use when interrogating your head of marketing briefing your agency or taking a punt on a new marketing consultant. Responsive websites are required not optional. I m hoping you already got that one. When your customer or audience accesses your website they should see a version that suits the mobile device they are using. Clean and simple but optimised. Update your copy regularly and with interesting material. But keep it succinct. Go beyond those 140 characters and the reader s hand will start to sweat and they may drop their mobile phones. Do not think about linking your website to your social media presence do it. First encounters business to consumer are happening through social media and on mobile devices so think of your LinkedIn page as a fly fisherman does his lure. Catch the eye and bring them in and keep casting with new information. The peach of course amongst these rather obvious suggestions is likely the most obvious. If the consultant is not capable of creating their own powerful digital presence then why would you think they could help you This is the reality of digital. jsy CONNECT AUGUST 2015 75 Here s the Thing Here s There was nothing on the estimated 450 million hospital nothing on sorting out Fort Regent no money put aside for the strategic priority of sorting out town nothing on the health charge the toilet charge or the waste charge and no really clear idea of how the States pay bill will somehow drop by a fifth in four years. In fact the most striking thing about the Medium Term Financial Plan is not what it says but what it doesn t address at all. It s not just that there s an elephant in the room. It s more like the room is literally full of elephants. And there s elephant-patterned paper on the walls. And those walls are made of elephants. Here s the thing. The challenge of fixing the deficit in public finances left by the previous Treasury Minister would be big enough without the Council of Ministers determination to spend another 61 million every year mainly on health and education. As it is the challenge we face borders on the ridiculous the 145 million target (and remember that s the gap every year) is the equivalent of the entire Education and TTS budgets or putting it another way a third of all tax income. That s the only way to put this issue into perspective the black hole is so big filling it will take the equivalent of shutting down every single school in the Island laying off every teacher letting the parks turn into overgrown jungles and having our roads literally fall apart and crumble. 76 AUGUST 2015 jsy CONNECT And ordinarily you d make the obvious assumption that the States would choke at the prospect do their usual barely-quarter-assed attempt to save money lose interest and then just whack up taxes and congratulate themselves for having taken ...difficult long-term decisions. But things are different now. The Medium Term Financial Plan is the boldest thing that the States have done in decades possibly ever. It faces up squarely to an immense challenge it balances the response in terms of cuts and charges and it simultaneously sets out to turn a creaking inwardlooking public administration that s essentially designed for the 1980s into a flexible modern government that s equipped to meet the radically different challenges of the coming decades. You can disagree with how it plans to get there and many will. It s particularly baffling for example that the whole issue of ensuring foreign-owned businesses pay some tax has been comprehensively ignored and you might not unreasonably say that a financial plan that doesn t include anything solid on the biggest capital project Jersey has ever undertaken (the new hospital) isn t much of a financial plan at all. But what you can t do is say that ministers are ducking the challenge. They re not. They re facing it head on. The difference is largely down it seems to the new man at the helm of the Treasury Senator Alan Maclean. As recently as September his predecessor Senator Philip Ozouf was describing growing speculation about a structural deficit as loose talk that was ...sending the wrong message out that somehow there is a problem with our public finances. By April the new man in charge had revealed that there was a structural deficit that it was estimated at 135 million and likely to get bigger. Then last week he revealed that bigger it had got. While working on that plan he d managed to get a team of independent consultants into the States to look for savings sharing the somewhat skeptical attitude that many Islanders have with regards to leaving the job of finding efficiencies with the civil service and had for the first time included depreciation costs in States budgets to ensure that capital and maintenance costs are properly budgeted for. He s been upfront open and honest about the scale of the challenge to come he s been clear that compulsory redundancies are not just possible but likely and he s fought off voices in the Council of Ministers that were (apparently) prepared to pay the whole thing off with tax rises and who even kicked up a fight about a pay freeze. All of this contrasts with the slow shredding of his predecessor s reputation Senator Ozouf ducked questions about the structural deficit that just months later turned out to be worth around 145 million a year an independent report has now criticized the financial management systems in the Treasury during his six-year tenure he achieved nothing about foreign businesses paying tax despite saying it was a priority the bonkers economic growth targets that were set in his first MTFP helped to lay the groundwork for the current deficit expensive pay-offs for departing civil servants seemed to follow around in his wake and perhaps most damningly of all his successor has taken just six months to find a way to cut 90 million from States spending in a way that completely eluded him. So although the new MTFP contains a selection of holes so large you could toss in a new hospital follow up by tipping in the rest of St Helier and still having a gap large enough to fit a refurbished Fort Regent - it does at least show that finally desperately agonisingly the supertanker is starting to turn into the wind. On the basis that you can t solve a problem until you stop pretending it doesn t exist (and to suggest it might is to be a wrecker to be radicalised or in a stomachchurning twist of irony to Threaten Local Jobs ) that is something to be thankful for. Have your say... 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 jsy CONNECT AUGUST 2015 77 Since the Deadly Diary column began two years ago DD has been inundated with anonymous requests for expert advice and sage counsel. DD has thrown them all in the bin because that s not something that DD cares about. But the absence of events in August means that one of DD s many minions has been dispatched to said receptacle - so enjoy lucky reader your pleas for help will now be answered Dear DD Thank you for your leadership and guidance it s been of enormous benefit to me over the last seven years. My current contract runs out at the start of 2017. Is there a cushy retirement gig for me in Jersey BO Washington DC DD responds Nice try Baz. Like DD has told you a thousand times you re nowhere near as good as the Gorstmeister. If just for example you re good at getting on taxpayer-funded flights to far-flung locations (and let s face it the destination-selection and boarding process proves difficult for even the best of us) and knowing which fork to use at glitzy black-tie dinners then DD s advice is that you just go with it. There would be nothing worse than being just for example out of your depth in a really important job and making a series of errors that have a huge impact on lots of people who depend on you to do a good job. That would be terrible. Just terrible. Dear DD I seem to have trouble making decisions. Or do I Am I doing something wrong Or not I can t decide. Can you help Or not I m very confused I think. Maybe. JLF St Lawrence DD responds Just get the repor t out John. Dear DD Why does everyone make out that politics Dear DD is tricky. It seems pretty easy to me. Am No-one seems to be paying attention to I doing something wrong or is everyone else me anymore. Am I doing something wrong missing the point ur PO St Savio DD responds Au contraire DD s advice is to stick with what you know. IG St Ouen Every month Connect will be flicking carefully through the future calendar of political and business events ...and chewing over what it finds there . 78 AUGUST 2015 jsy CONNECT Deadly Diary DD responds Into every generation is born a defining genius who shapes their time and the destiny of thousands a Leonardo Da Vinci a John Lennon a Muhammad Ali or a Dennis Wise. Sounds like you bear the torch for a generation. DD says just go with it. But to those born with great talent and ability comes also a great responsibility to share their gifts with others. So maybe I dunno do an interview from time to time And stop refusing them With Bailiwick Express maybe DD responds Sounds like you d be good but why start here There s lots of places experimenting with democracy who are in need of someone with just your CV. Do you know anything much about Iraq From what you say they d bite your arm off. Dear DD I m a big fan. When asked my priorities I say Deadly Diary Deadly Diary Deadly Diary . I m a dab hand with the media and I ve got some experience of running countries with a string of resounding election victories but my popularity in my native land seems to have waned and I don t understand why. I ve tried branching out into other markets but that doesn t seem to be working either. Should I try my hand at politics in Jersey TB Islington Jerusalem Dear DD I ve just been ripped off. I d promised to support a load of stuff in response for some funding for my local area but as soon as I d delivered my side of the bargain the gang that I d been working for stopped returning my calls and now it turns out they re not going to pay. It s occurring to me that maybe they never intended to at all. What should I do SC St Helier DD responds Well gosh SC briber y is a tricky business for all concerned isn t it Maybe you d be better off getting the money in the bank first next time around Funny thing but politicians are apt to forget debts. Want more Read Take Five on page 08 jsy CONNECT AUGUST 2015 79 The DIY Will A question asked frequently is whether it s okay to buy a DIY will from a stationers or online to avoid the costs of a lawyer. The short correct answer is maybe. The longer correct answer is Maybe but I wouldn t if I were you. Each legal jurisdiction has specific but often different - formal requirements for a valid will. Without seeing the particular off-the-shelf will it is impossible for me to say if it does or does not satisfy Jersey law. For that reason alone it s better to avoid them. In previous articles I ve explained that people in Jersey often execute two wills one for movables and one for land and houses. The formal requirements for each are different. However underlying these requirements is a general theme to make sure as far as possible the will is genuine. Something printed from the internet with what looks like the deceased s signature is not going to suffice. It s too easy for it to be a forgery. That s why with the exception set out below the law wants the testator s signature witnessed by two independent people independent means someone who doesn t inherit under the will. and dated it would be valid. The law has moved on. It s now acceptable (but less desirable) to type a will sign and date it. My brief reading on t internet has shown available information to be inconsistent and therefore dangerous. Several sites say a holographic will is valid in England and Wales but not Scotland other sites say they re valid in both yet other sites say they re invalid in both. Beware. But provided you get the law right the benefit of a Jersey holographic will is it does not require witnesses. A need for this method of leaving one s worldly possessions is obvious it may have to be done in a hurry (we all joke about getting a lawyer to do anything quickly). For that reason all manner of holographic wills have appeared at one time or another suicide notes people leaving for a sea voyage before being able to see a lawyer soldiers on the battlefield and so on. In fact in the US specific exceptions exist in some States for members of the armed forces but often the will expires after a certain amount of time from drafting. I reckon the law in Jersey will move on again when the need arises. Remember the general theme to safeguard against fake wills How about this. I go on a trek in a mountain range trip and fall. I am alone. Day 6 I have no food or water and I fear death looming at the next night fall. I hear wolves howling as the sun gently bids me farewell. My two broken legs cause me increasing pain. If all of that wasn t bad enough would you believe it I don t have a pen and paper with me Typical. I was going to pack the DIY will I purchased on-line from Wills r Us in my backpack but room was at a premium. The little space I did have available was used instead for...wait for mobile phone But you guessed it no network coverage (4g is so hit and miss). I flick it into life and video myself Hello I am alone on a mountain. I am dying. This is my last will. I am of sound mind. I leave all my Estate to the Jack Russell Rescue Centre. What s wrong with that To my mind it s better than a handwritten note. A picture is worth a thousand words and all that. A moving picture worth a million. Why do police now have cameras rather than just their pocket notebooks I reckon I could convince a Jersey court to accept a video will. An unsent text message Precarious....maybe if you could establish you needed a fingerprint to unlock the phone. All of this prompted me to go searching for the most bizarre holographic wills and I wasn t disappointed. Shortest will ever Vse zen ( everything to wife ) written by the deceased on his bedroom wall. But here s my favourite in Canada in 1984 farmer Cecil Harris got trapped under his tractor. He carved into its fender In case I die in this mess I leave all to the wife. Cecil Geo. Harris. Yes the fender was admitted into probate and is now hanging in the law library of a Canadian university. One day I hope to walk into Jersey s probate department with a bed sheet a torn off bit of a cereal packet or a garage door (preferably a double one) with a scribbled will on it (you re not allowed to deface a will so the whole garage door has to come with me not just part) and watch the officers affix a seal or produce certified copies of it. One day maybe. The Advisor Olaf Blakeley is an Advocate specialising in litigation and commercial law If you have a legal question you would like to put to Advocate Blakeley please email editor But like all good things in law there are exceptions and it s a particular exception that prompted this article the holograph will. The definition given by Wiki is ...a will and testament that has been entirely handwritten and signed by the testator.... However that definition does not fit the Jersey definition. To explain it has long been possible to sit behind a desk and hand write a will. It used to be the case that provided it was handwritten signed 80 AUGUST 2015 jsy CONNECT The Skills Accelerator grant has helped the Jersey Employment Trust to invest in two members of staff who are now better skilled to undertake their roles. The skills learnt on the training have improved the efficiency and productivity of the operations at the Acorn Woodshack. Steve Pearce Jersey Employment Trust Employees. Employers. Grants up to 4 000 still available for skills training. Skills Accelerator grants provide support to employees of local businesses (SMEs) to access training that will make a difference to the viability or diversification of their employer s business. Grants could support personal development vocational or specialist training and training for employees looking to progress to a new role. Successful applicants are offered a grant of up to 75% of the total balance of their training costs up to 4 000. Closing date for applications is Monday 14 December 2015. To be eligible for a grant applicants must be able to demonstrate their residential status and businesses must have been trading for a minimum of six months. For further information about the Skills Accelerator and how to apply visit Skillup Boosting Skills. Growing Business. A Skills Jersey Initiative