The statement sets out Jersey’s approach to risk relating to its finance sector. It:
outlines, at a high level, the main sources and types of risk Jersey’s finance centre presents
articulates the boundaries of Jersey’s appetite for financial services related activities
sets out the framework for how Jersey identifies, sets tolerance for, and mitigates risk.
National Statement on Financial Services and Financial Crime: Activities, Risk Appetite and Mitigation
The risk statement will be updated in response to any significant change in circumstances and will be revised annually.
There are activities which the Government considers should not be taking place in or from Jersey. These include:
any dealing with persons or legal entities subject to sanctions applied in Jersey or which contravene UK foreign policy
any dealing with the Financial Action Task Force (FATF) black listed jurisdictions
citizenship by investment schemes operated in Jersey
aggressive or abusive tax avoidance
Working with the JFSC, the Government will update the list of activities considered to constitute higher money laundering or terrorist financing risks on the basis of national and international research and data.
In order to monitor the level of higher risk activity being undertaken, the authorities will continue to collect and analyse more granular data on these activities and relationships as part of further risk assessments. This will further develop more advanced systems and controls which will in turn enable Jersey to more effectively manage the national risk exposures at all times.
Ultimately, Government expects entities to consider their level of exposure to higher risk business, including the accumulation of risk, and their ability to manage those risks. This is consistent with the jurisdiction’s strong commitment to maintaining international financial crime standards, to both prevent Jersey from being used as a location for financial crime and protecting its international reputation.