Government of Jersey

Information about the publication of Ministerial Decisions

A formal published “Ministerial Decision” is required as a record of the decision of a Minister (or an Assistant Minister where they have delegated authority) as they exercise their responsibilities and powers.

Ministers are elected by the States Assembly and have legal responsibilities and powers as “corporation sole” under the States of Jersey Law 2005 by virtue of their office and in their areas of responsibility, including entering into agreements, and under any legislation conferring on them powers.

An accurate record of “Ministerial Decisions” is vital to effective governance, including:

demonstrating that good governance, and clear lines of accountability and authority, are in place around decisions-making – including the reasons and basis on which a decision is made, and the action required to implement a decision
providing a record of decisions and actions that will be available for examination by States Members, and Panels and Committees of the States Assembly; the public, organisations, and the media; and as a historical record and point of reference for the conduct of public affairs

Ministers are individually accountable to the States Assembly, including for the actions of the departments and agencies which discharge their responsibilities.

The Freedom of Information Law (Jersey) Law 2011 is used as a guide when determining what information is be published. While there is a presumption toward publication to support of transparency and accountability, detailed information may not be published if, for example, it would constitute a breach of data protection, or disclosure would prejudice commercial interest.

A decision made 24 April 2020:

Decision Reference: MD-TR-2020-0049
Decision Summary Title:	Approval of Scheme Guidelines for Co-Funded Payroll Scheme Phase 2 and allocation of Reserve Funding to CLS in 2020		Date of Decision Summary:	24th April 2020
Decision Summary Author:	Head of Financial Governance		Decision Summary: Public or Exempt?	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:	n/a
Written Report Title:	Approval of Scheme Guidelines for Co-Funded Payroll Scheme Phase 2 and allocation of Reserve Funding to CLS in 2020		Date of Written Report:	24th April 2020
Written Report Author:	Head of Financial Governance		Written Report : Public or Exempt?	Public
Subject: Approval of Scheme Guidelines for Co-Funded Payroll Scheme Phase 2 and allocation of Reserve Funding to CLS in 2020
Decision(s): The Minister decided to approve: the Scheme Guidelines for the Co-Funded Payroll Scheme Phase 2 as attached to the written report; and the allocation of up to £138 million in 2020 from the General Reserve to CLS (Customer and Local Services) for the Co-Funded Payroll Scheme Phase 2. The Minister further decided to: transfer an initial amount of £46 million to CLS for the first month of the Scheme; delegate to the Treasurer of the States the ability to authorise further drawdowns, up to the £138 million approved funding, and transfer to CLS; and delegate to the Treasurer of the States the ability to authorise minor changes to Scheme Guidelines, with the agreement of the Minister, providing such changes are published on www.gov.je.
Reason(s) for Decision: Article 15(3) of the Public Finances (Jersey) Law 2019 states that the approval by the States of a government plan authorises the Minister to direct how an approved appropriation for a reserve head of expenditure in the plan may be spent (including on another head of expenditure) in the first financial year covered by the plan. The current Contingency Allocation Policy (published as R.23/2020) sets the requirement for all allocations from contingency to be considered by the Investment Appraisal Board, Principal Accountable Officer and States Treasurer prior to submission to the Minister for approval, however it also states that ‘Where a request is made for £100,000 or less, or where the Minister is satisfied that there is an urgent need to provide funding in the public interest, an allocation may be made by the Minister on the recommendation of the Treasurer.’ Following approval of the Scheme principles and Guidelines by the Council of Ministers, the Minister is satisfied that there is an urgent need to provide funding in the public interest. This scheme was proposed to the Council of Ministers and approved unanimously on 20 April 2020. The scheme guidelines have been reviewed and approved by the four Ministers that will form the Coronavirus Government Support for Businesses Political Oversight Group (POG), namely: - Sen. Lyndon Farnham - Dep. Susie Pinel - Dep. Judy Martin - Sen. Ian Gorst These Ministers have also been made aware the significant risks that are attached to the scheme. These have been judged to be accepted given the need to provide urgent and essential support to workers’ livelihoods and businesses. A detailed risk analysis that was prepared as part of the business case has been reviewed by these Ministers and they have confirmed their written acceptance of the risks associated with the scheme, some of which cannot be fully mitigated. A Business case has been developed and appraised by the Investment Appraisal Team. On the basis of the above and the above confirmations by Ministers, the Treasurer recommends to the Minister, the scheme and the funding, for up to 3 months, subject to monthly review of the scheme.
Resource Implications: The General Reserve head of expenditure will decrease by up to £138 million in 2020 and the CLS head of expenditure will increase by up to the same amount.
Action required: Head of Financial Governance to ensure this decision is published on www.gov.je and notify the Head of Finance Business Partnering – CLS.
Signature:		Position: Deputy S J Pinel, Minister for Treasury and Resources
Date Signed:		Date of Decision:

Co-Funded Payroll Scheme - Phase 2: Approval of Guidelines and allocation of Reserve Funding to Customer and Local Services in 2020

Treasury and Exchequer

Ministerial Decision Report

Approval of Scheme Guidelines for Co-Funded Payroll Scheme Phase 2 and allocation of Reserve Funding to CLS in 2020

Purpose of Report

To enable the Minister to consider the recommendation to approve:

the Scheme Guidelines for the Co-Funded Payroll Scheme Phase 2, attached to this report; and
the allocation of up to £138 million in 2020 from the General Reserve to CLS (Customer and Local Services) for the Co-Funded Payroll Scheme Phase 2.

Further, to enable the Minister to consider the recommendation to:

transfer an initial amount of £46 million to CLS for the first month of the Scheme;
delegate to the Treasurer of the States the ability to authorise further drawdowns, up to the £138 million approved funding, and transfer to CLS; and
delegate to the Treasurer of the States the ability to authorise minor changes to Scheme Guidelines, with the agreement of the Minister, providing such changes are published on www.gov.je.

Background

The outbreak of COVID-19 presents a public health emergency and the measures necessary to combat the virus are precipitating acute economic crisis that presents significant risk to Jersey’s economy. To support the economy through the crisis, the Government of Jersey has announced a bold package of interventions, which includes the Government Co-Funded Payroll Scheme

The Government Co-Funded Payroll Scheme: Phase 2 is being introduced to assist employers and employees whose businesses have suffered material detriment as a result of the COVID-19 global pandemic (“COVID-19”) and the circumstances brought about by COVID-19.

The key aims of the scheme are as follows:

Support Islanders’ livelihoods, by ensuring employment and allowing workers continue to benefit from a reasonable level of income to avoid hardship during the crisis and preserve demand to support an economic recovery once social distancing and Stay at Home restrictions are lifted.
To maintain, as far as possible, existing employment relationships so that businesses are able to retain trained and experienced staff. As far as possible, employees should be kept in employment that is as similar as practicable to the situation they were in pre-COVID-19.
Along with other economic support measures being taken by the Government, to allow businesses and self-employed individuals a greater chance to remain solvent during COVID-19. This should also allow for businesses to resume normal business activity where appropriate as soon as possible post COVID-19, once restrictions are eased.
Ultimately the scheme aims to accelerate the recovery of the economy post COVID-19 by ensuring that businesses and employment income can restart quickly once restrictions are eased.
To support Charities and their work in the community during COVID-19, and their paid employees.

Governance

The lead Minister for the Government Co-Funded Payroll Scheme Phase 2 will be the Minister for Treasury and Resources.

Funding will be transferred to Customer and Local Services which will administer all payments under the scheme. The relevant Accountable Officer for the funding will be the Director General of Customer and Local Services.

This initiative is one of package of economic support measures introduced to help mitigate the impact of Covid-19 on the economy. The governance groups outlined below will be established to provide oversight of all such economic support initiatives and this scheme will likewise be monitored by these groups.

Coronavirus Government Support for Businesses Political Oversight Group (POG)

Member	Role
Sen. Lyndon Farnham	Deputy Chief Minister Minister for Economic Development, Tourism, Sport & Culture Assistant Minister for Treasury & Resources
Dep. Susie Pinel (Chair)	Minister for Treasury & Resources
Dep. Judy Martin	Minister for Social Security
Sen. Ian Gorst	Minister for External Relations Assistant Minister for Treasury & Resources

Functions

Receive reporting including data, advice and other information from the SOG
Provide oversight, political steerage and decision making to the SOG

Senior Officer Group (SOG)

Member	Department
Charlie Parker/Catherine Madden (Chair)	CEO/Chief of Staff
Richard Bell or designate	Treasurer
Richard Corrigan or designate	FSDE
Ian Burns or designate	CLS
Tom Walker or designate	SPPP

Functions

Receive reporting including data, advice and other information from the OG
Provide oversight and officer level steerage for the OG
Provide reporting including data, advice and other information to the POG
Cascade political steerage and decision making from the POG to the OG#

Officer Group (OG)

Member	Role
CLS operational representative	Government Co-Funded Payroll Scheme Operations
SPPP Social Security policy representative	Government Co-Funded Payroll Scheme Policy
FDSE operational and policy representative	Bank Loan Guarantee Scheme Policy/Operations Special Situations Fund if administered here
Economy operational representative	Special Situations Fund if administered here
Treasury operational representative, policy representative	Special Situations Fund if administered here Overall policy and financial oversight
Economics Unit policy representative	Economic policy input

Scope, key terms and risks

This scheme was proposed to the Council of Ministers and approved unanimously on 20 April 2020.

The detailed guidelines attached to this Ministerial Decision outline the scope and terms of the Government Co-Funded Payroll Scheme: Phase 2.

The scheme guidelines have been reviewed and approved by the four Ministers that will form the Coronavirus Government Support for Businesses Political Oversight Group (POG), namely:

- Sen. Lyndon Farnham

- Dep. Susie Pinel

- Dep. Judy Martin

- Sen. Ian Gorst

These Ministers have also been made aware the significant risks that are attached to the scheme. These have been judged to be accepted given the need to provide urgent and essential support to workers’ livelihoods and businesses. A detailed risk analysis that was prepared as part of the business case has been reviewed by ministers and they have confirmed their written acceptance of the risks associated with the scheme, some of which cannot be fully mitigated.

Recommendation

The Minister is recommended to approve:

the Scheme Guidelines for the Co-Funded Payroll Scheme Phase 2 attached to this report; and
the allocation of up to £138 million in 2020 from the General Reserve to CLS (Customer and Local Services) for the Co-Funded Payroll Scheme Phase 2.

Further, to:

transfer an initial amount of £46 million to CLS for the first month of the Scheme;
delegate to the Treasurer of the States the ability to authorise further drawdowns, up to the £138 million approved funding, and transfer to CLS; and
delegate to the Treasurer of the States the ability to authorise minor changes to Scheme Guidelines, with the agreement of the Minister, providing such changes are published on www.gov.je.

Reason for Decision

Article 15(3) of the Public Finances (Jersey) Law 2019 states that the approval by the States of a government plan authorises the Minister to direct how an approved appropriation for a reserve head of expenditure in the plan may be spent (including on another head of expenditure) in the first financial year covered by the plan.

The current Contingency Allocation Policy (published as R.23/2020) sets the requirement for all allocations from contingency to be considered by the Investment Appraisal Board, Principal Accountable Officer and States Treasurer prior to submission to the Minister for approval, however it also states that ‘Where a request is made for £100,000 or less, or where the Minister is satisfied that there is an urgent need to provide funding in the public interest, an allocation may be made by the Minister on the recommendation of the Treasurer.’

Following approval of the Scheme principles and Guidelines by the Council of Ministers, the Minister is satisfied that there is an urgent need to provide funding in the public interest.

This scheme was proposed to the Council of Ministers and approved unanimously on 20 April 2020.

The scheme guidelines have been reviewed and approved by the four Ministers that will form the Coronavirus Government Support for Businesses Political Oversight Group (POG), namely:

- Sen. Lyndon Farnham

- Dep. Susie Pinel

- Dep. Judy Martin

- Sen. Ian Gorst

These Ministers have also been made aware the significant risks that are attached to the scheme. These have been judged to be accepted given the need to provide urgent and essential support to workers’ livelihoods and businesses. A detailed risk analysis that was prepared as part of the business case has been reviewed by these Ministers and they have confirmed their written acceptance of the risks associated with the scheme, some of which cannot be fully mitigated.

A Business case has been developed and appraised by the Investment Appraisal Team. On the basis of the above and the above confirmations by Ministers, the Treasurer recommends to the Minister, the scheme and the funding, for up to 3 months, subject to monthly review of the scheme.

Resource Implications

The General Reserve head of expenditure will decrease by up to £138 million in 2020 and the CLS head of expenditure will increase by up to the same amount.

Report author : Head of Financial Governance	Document date : 24rd April 2020
Quality Assurance / Review : Group Director, Strategic Finance	File name and path: L:\Treasury\Sections\Corporate Finance\Ministerial Decisions\DS, WR and SD\2020-0049 - Reserve funding for CFPS phase 2 £138m
MD sponsor : Treasurer of the States