Finance ‘must re-engage soon to secure business’

Tony Mancini, chairman of the Guernsey International Business Association, also highlighted the potential danger to funding of vital services if solutions to protect public health on-island while allowing business out to market were not found.

‘The Covid-19 crisis and the measures to mitigate it will deal a significant blow to the economy and to public finances as a result. The most effective way to deal with that is to get the economy moving again,’ said Mr Mancini.

‘Finance is the largest part of the economy and can be the engine room for growth and therefore economic recovery.

‘Finance has been lucky in that we have been able to continue operating during the lockdown.

‘However, we are fundamentally an export business, providing skills, expertise and services to clients all around the world, so at some point we need to get back out there to see our clients and win new business.

‘This is especially important if we are to seize all the opportunities that will arise as the business world resets.’

While the rest of the world remained in lockdown, the position of Guernsey’s finance sector was the same in terms of clients and competitors. But the Giba chairman added: ‘As soon as that changes, as it is starting to do now, we need to be able to re-engage with the global market. If we cannot do so, we are in danger of missing opportunities and losing business.

‘This will not just cause Guernsey business to be late to market but is likely to see a permanent loss of business. This will seriously inhibit the island’s growth prospects and ability to fund vital services.

‘So it is imperative that industry and government work together on solutions that enable business to get out to market whilst protecting public health at home.’

Last week Aurigny announced it was cancelling scheduled services until the end of August, and it emerged yesterday the airline did not consult the States about the decision.

Barrie Baxter, president of the Guernsey Chamber of Commerce, said he agreed with the importance of protecting the Guernsey bubble while also raising the question of whether testing of passengers on arrival could be a possibility. ‘Would it be possible to give people the option to pay and then avoid the 14-day quarantine? That could then be a way of conducting business,’ he said.

Deputy Charles Parkinson, president of Economic Development, said: ‘It is clearly desirable that the travel restrictions are lifted as soon as it is reasonably safe to do so.

‘If visitors could enter and leave Jersey without restriction, while Guernsey was still imposing “self-isolation” rules, some loss of business would be inevitable.

‘It is a delicate judgement call how much risk is acceptable in the absence of a vaccine which is both 100% effective and available in sufficient quantities to vaccinate the entire population.’