11 April 2023
A new Order has today taken effect, reducing the regulatory
administration that Jersey firms will face when making specific kinds of supply and
distribution arrangements.
The new Competition (Vertical Arrangements Block Exemption) (Jersey) Order 2023 ends the
requirement for businesses to obtain regulatory approval by exempting certain vertical
arrangements, provided that they meet specific conditions.
The JCRA’s Chief Operating Officer, Sarah Price, said: “Jersey law prohibits arrangements
between two or more businesses in Jersey that hinder or prevent competition in Jersey unless
they satisfy certain conditions and are approved in advance. This order will help provide
clarity for arrangements between businesses operating at different levels of the production or
distribution chain that may otherwise have needed the JCRA’s prior approval.”
The Minister for Economic Development, Tourism, Sport and Culture, who has responsibility
for competition policy, Deputy Kirsten Morel, said: “This Order lowers the barriers to doing
business for local companies by removing the unnecessary burden of seeking regulatory
approval for specific efficiency enhancing agreements.
“Exempting certain vertical arrangements simplifies procedures, reduces financial and
administrative costs for businesses, and helps consumers who will benefit from continued or
even enhanced access to goods and services.”
Stephanie Liston, Chair of the Authority, also welcomed the new Order, which will allow the
Authority to focus its attention on behaviour which may harm competition in Jersey.
The Order is part of a package of projects designed to ease the process to doing business in
the Island, contribute to economic growth, develop Jersey’s economy and enhance
consumer welfare.
They are:
- A consultation being led by Jersey Business Ltd to identify the perceived and real barriers
to doing business in the Island. The outcomes and recommendations will be used by
Government
- An assessment of how Jersey could reduce barriers to inward investment, which will
inform the forthcoming Inward Investment Strategy
- An automatic voter registration system which will provide a simple and digital process to
determine eligibility to vote, necessitating a harmonisation of data to deliver a centralised
data source
- The encouragement of greater access to finance for both residents and businesses in
Jersey
- A consultation seeking views on proposed changes to Jersey’s competition law to
maintain an attractive and competitive business climate
- Updating Jersey’s intellectual property framework
Deputy Morel said: “If Jersey is going to be more productive, we have to have a business
environment which adapts to the changing marketplace. These changes will help us to do just
that.”
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