11 November 2024
Business investment and support schemes worth a total of £30 million have been announced.
The schemes are:
- a package of financial support measures worth £20 million to help employers improve
productivity and adjust to a higher minimum wage
- The Agricultural Loans Fund, which has been established with £10 million and
reopened for applications
- The Impact Jersey CX Tech Programme, which will offer up to £500,000 in match
funding to improve customer experience in Jersey.
The Minister for Sustainable Economic Development, Deputy Kirsten Morel, said: “Through
these schemes, we are helping Jersey businesses to invest in themselves and their employees.
“Jersey suffers from low levels of business investment – less than half of the UK level, which
itself is the lowest level of any G7 nation. To achieve our ambition of becoming a high
performing, environmentally sustainable and technologically advanced small island economy
by 2040, we need to invest in change. We’re enabling Jersey businesses to access significant
investment, and I’m confident that this will help stimulate the growth and improvement in
productivity that we need.”
Better Business Support Package
This package has been introduced to help employers improve their productivity and
competitiveness during the transition to a living wage, one of the Council of Ministers’
Common Strategic Priorities. The minimum wage will rise to £13 per hour from 1 April 2025 in
preparation for April 2026, when the minimum wage will be set as two thirds of the 2024
median wage.
The package, which is subject to approval by the States Assembly as part of the Budget,
includes the following per year in 2025 and 2026:
- £2.3m Productivity Grant – to help any employer invest in a product or process
improvement
- £2m Skills Grant – to help any employer invest in apprentice and skills training
- £1.1m Rural and Marine Grant – top up funding to the existing rural and marine
support schemes
- £1m Visitor Economy Development Grant – a productivity grant ring-fenced for visitor
economy employers
- £2m Destination Marketing Grant – top up grant for Visit Jersey to increase tourism
demand
- £1m Route Development Grant – a contract for Ports of Jersey to increase connectivity
- £0.3m Additional Employee Support – to support lower-income workers who have
lived in Jersey less than five years.
A small amount of the funding will also be used to support delivery, marketing of the
schemes, and the development of an online portal to streamline the grant application
process.
The application process will be announced following States approval, with the schemes open
to all employers launching in early 2025 via Jersey Business.
The Chief Executive Officer of Jersey Business, Paul Murphy, said: “We are delighted to be
supporting this valuable programme of investment. These packages will enable businesses to
access finance and capital through various grants, simplifying and supporting direct business
investments. This will act as a catalyst to activate productivity gains relevant to all sectors,
directly impacting business growth, resilience, and profits. Additionally, these investments will
benefit people by engaging them in work that best utilises their skills and potential. We look
forward to sharing more in the coming weeks on how this process will be enabled with a
digital-first approach.”
The Government and arm’s length organisations will be working together with the business
community to ensure that Jersey businesses are able to take advantage of the schemes.
Jersey Chamber of Commerce Chief Executive, Murray Norton, said: “Jersey Chamber has
worked with the Government during the development of the new Business Support Schemes,
include productivity improvement, skills grants, and funding for apprenticeships. These grants
and incentives will offer some support during the transition to the new minimum wage and
give businesses opportunities to enhance productivity. Chamber is pleased to now be
working with Government and key stakeholders on the mechanics of the schemes and will be
the host for breakfast briefings with the relevant stakeholders.”
The Jersey Hospitality Association Co-Chief Executive Officer, Marcus Calvani, said: “This
targeted and substantial financial support is essential for our industry, especially as we
navigate both the implementation of a new minimum wage and broader economic
challenges. We are united and dedicated in our commitment to advancing the visitor
economy strategy in the coming years, and this funding will play a crucial role in fostering
growth not only to individual businesses but to the visitor economy as a whole.”
Agricultural Loans Scheme
The Agricultural Loans Scheme, which has been dormant since 2003, has now been re-established and £10m allocated to it. Applications for the first tranche of £3 million opened
last Thursday, available to help agricultural businesses make long-term investments.
Deputy Morel said: “This was unanimously approved by the States last year, showing that
there is support for the agriculture sector. These loans will make it easier for businesses in this
important sector to develop, and continue to be the protectors of Jersey’s natural
environment.”
The President of Jersey Farmers’ Union, Douglas Richardson, said: “I am pleased to see that
the concerns of the farming industry have clearly been taken into account by the Council of
Ministers with these proposals. Additional funding delivered under the Rural Support Scheme
will help those rural businesses most impacted by the increase to the Minimum Wage. The
reintroduction of the Agricultural Loans Scheme will greatly assist with much needed
investment in our sector. These measures ensure we will continue to maintain a viable and
sustainable farming sector as a vital part of Island life.”
CXTech Programme
The latest Impact Jersey grant programme, also launched last Thursday, is aimed at
developing and deploying tech-driven solutions to enhance local customer experiences
across Jersey’s retail, tourism, hospitality, and logistics sectors.
The CXTech Programme will offer up to £500,000 in match funding to innovators who have
developed customer experience technology solutions with the aim of enhancing interactions,
boosting productivity and improving operational efficiencies.
Tony Moretta, Digital Jersey’s CEO, said: "CXTech is designed to make a positive impact on
the Island’s visitor and retail sectors, using technology to significantly transform customer
experiences and combatting challenges we’re experiencing in Jersey, from increased logistics
and freight costs to the fragmented digital interactions encountered when trying to access
information.”
Visit Impact Jersey for further information.
gov.je