Where the setting up of a new business operation involves the establishment
of a physical business presence in Jersey, various consents are required before
commencing trade. The objective of these consents is broadly to ensure that
the proposed new business meets Jersey's criteria in terms of regulatory standards
and economic benefit. It is also to safeguard the island's quality of life by
ensuring that the new business aligns with Jersey's overall strategy of attracting
'low footprint', high value business to the island.
In addition to any consents and permits required from the financial
regulator (JFSC), the following key factors should also be
considered by persons looking to establish a new business
in the island.
Work Permits in Jersey
Whilst work permits are not required for persons from EU
Member States, other employees from outside the island will
require a work permit under the Immigration (Work Permits)
(Jersey) Rules, 1995.
Regulation of Undertakings
The principal law governing the establishment of new businesses
in Jersey is the Regulation of Undertakings & Development
(Jersey) Law, 1973 ('Regulation of Undertakings' or 'the
Law'). Under the law, any proposed new business must first
obtain a licence from the Economic DevelopmentDepartment
of the States of Jersey (EDD). In determining whether to
grant a licence, the EDD will have particular regard to
the staffing levels required by the new business and to
what extent it will endeavour to source its staff from Jersey's
existing labour pool.
In a significant policy shift, the Department recently removed the distinction
between local resident and nonlocal resident applications, and now considers
each new business application on its own merit. This policy shift strongly reinforces
the message, that the island is very much 'open for business' and welcomes new,
high quality businesses seeking to establish a presence in Jersey.
The licence issued under Regulation of Undertakings will specify the total
number of staff permitted to be employed by the new business. Changes in staff
numbers can usually be agreed in advance by the business entering into a three
year joint staffing plan with the Economic Development Department (EDD - the
executive body responsible for administering the Law). Increases to staff numbers
outside of the agreed plan would normally be considered on a case by case basis
by the Department.
