There is close cooperation between the Channel Islands and the French authorities on emergency planning and on radioactive sampling. Karen Jenner, of FiscalReps, speaks to Captive Review about the hurdles surrounding premium tax compliance for insurers and captives domiciled in Guernsey. UK travellers visiting the EU once the Brexit transition period ends will face a number of new hurdles. Guernsey Finance - the promotional agency for the island's finance industry internationally - is a joint industry and Government initiative responsible for the promotion of Guernsey. There is close cooperation between the Channel Islands and the French authorities on emergency planning and on radioactive sampling. The Channel Islands are committed to some international environmental standards on which EU legislation has subsequently been based. Moving outside of the EU, Guernsey captive insurers find themselves in an equal position to those captives domiciled within the EU. It does not derive from EU law but predates it and hence was not linked to Protocol 3. There is close cooperation between the Channel Islands and the French authorities on emergency planning and on radioactive sampling. Further details of the tax and regulatory cooperation between the Channel Islands and the EU can be found in the separate note “CI-EU tax cooperation“. Similarly, EU fisheries conservation measures under the Common Fisheries Policy (CFP) did not apply directly to the Channel Islands under Protocol 3 and the Channel Islands did not pay into or receive money from the EU (or UK) budget, including the European Maritime and Fisheries Fund – EMFF. European Union (EU) citizens moving to Guernsey must obtain a Guernsey housing license in order to occupy a local market property. In Australia local insureds can file and settle relevant charges on behalf of their captive insurer. The proximity of the Flamanville nuclear power station to the Channel Islands makes EU competence for nuclear safety standards under the Euratom Treaty of importance. © 2020 CIBO. Like the UK and Ireland, Guernsey and Jersey are outside the visa/check-free Schengen area and so operate border controls for flights or ships arrivals from countries other than the UK or Ireland. The UK’s withdrawal from the EU on 31 January 2020 does not directly affect the Channel Islands’ relationship with the EU 27 in key areas like tax, anti-money laundering, financial services, and data protection where the Islands were already third countries and as such remain committed to close cooperation with the EU. Protocol 3 excluded “Channel Islanders” from the provisions of the Treaty relating to the free movement of persons provisions of the Treaty. As small islands, Guernsey and Jersey need to apply policies regarding the right to reside and the right to work which respond to the needs of the economy while ensuring that housing and population development is sustainable. The terms relating exclusively to the Channel Islands and the Isle of Man were subsequently embodied in Protocol No. However, Channel Islands consumers going abroad (and UK/EU consumers visiting the Channel Islands) do not currently benefit from the lower voice and data charges secured by the EU Roaming Regulations. The first phase of the rollout of the Pfizer/BioNTech vaccine in Guernsey is due to begin next week. However, for Protocol 3 purposes (and hence until the end of the Transition Period), a person who was born in the UK, or who has at least one parent or grandparent who was born in the UK, or who has resided in the UK for 5 years is not a “Channel Islander”. So, for example, in the application of their residency policies they cannot favour, say, British nationals over other EU nationals. Protocol 3 excluded “Channel Islanders” from the provisions of the Treaty relating to the free movement of persons provisions of the Treaty. Guernsey and Jersey are attractive tourist destinations with their natural beauty and their unique culture and heritage. In 2018, the UK was the largest recipient of Chinese outbound foreign direct investment, surpassing the US, which has historically been the biggest recipient. EU 27 nationals represent around 20% of the resident population in Jersey and around 7% of the resident population in Guernsey. To add to confusion, in several EU countries IPT legislation was written many years prior to the issuance of the directive. Under this Regulation the Channel Islands must adhere to EU rules to facilitate and enable trade in such products including in relation to veterinary legislation; animal health; plant health; marketing of seeds; food; feeding stuffs; and quality and marketing standards. The effect of the UK leaving the European Union is uncertain. However, there is a formal relationship between the Channel Islands and the EU which is governed by Protocol 3 to the UK's Act of Accession to the European Economic Community in … The 1st Non-Life Insurance Directive (73/239/ EEC) defines the 18 classes of non-life insurance, but interpretation by each territory as to where business falls within these classifications can vary. The same directive and article can cause additional confusion when considering where the vehicle is ‘registered’ for defining where premium taxes and parafiscal charges are due. This provides for passport-free travel and simplified entry procedures for business visitors and tourists. Tourism is therefore an important industry. It is 30 miles (48 km) west of Normandy, France, and roughly triangular in shape. In effect, a vessel registered within the UK but operating out of German ports could be subject to double taxation, due to the two countries different interpretation of the directive’s ‘location of risk’ rules. However, despite its location in Europe, non-EU membership and the subsequent inability to passport insurance business across the EU brings unique challenges for direct writing opportunities, along with premium tax compliance hurdles. Channel Islanders and EU free movement rights These requirements will continue to apply until the end of the Transition Period. The Channel Islands are therefore directly affected by the relevant European legislation concerning spectrum and benefit from being part of a larger European group when harmonising spectrum usage in international negotiations. We use cookies on this site to enhance your user experience. Director of Public Health Dr Nicola Brink said 975 doses arrived on the island on Thursday. Moving outside of the EU, Guernsey captive insurers find themselves in an equal position to those captives domiciled within the EU. For those areas previously covered by Protocol 3 (and hence still covered during the Transition Period), EU legislation is directly applicable, and the Channel Islands are regarded as part of the UK Member State. However, the bulk of the energy needs in the Channel Islands are met from supplies from the EU, mainly by electricity cable interconnectors from France, so the Channel Islands have a strong interest in a properly functioning, competitive EU energy market, with security of supplies. The life expectancy is 80.1 years for males and 84.5 years for females. EU electricity Directives in the Third Energy Package therefore generally did not apply in the Channel Islands. However, the Channel Islands’ own legislation deals with competition questions in a manner consistent with treatment of similar questions under EU competition law. The Commission has reissued its document to provide a brief update to regulated firms, the States of Guernsey and other stakeholders on recent developments relating to the EU’s Markets in Financial Instruments Directive that could have a significant impact of firms located in the Bailiwick who are, or may be … Transport Investment >b /"i Amendment of the Brexit Law. Otherwise transport legislation in the Channel Islands is largely based on international standards set by bodies such as the International Civil Aviation Organization (ICAO) and the International Maritime Organization (IMO). EU electricity Directives in the Third Energy Package therefore generally did not apply in the Channel Islands. Competition policy per se was not within the scope of Protocol 3 (although normal conditions of competition in trade in agricultural products apply) so there was no obligation on the Channel Islands to follow general EU competition rules. The Channel Islands are third countries for the purposes of the EU’s Common Commercial Policy (CCP). 3 of the Treaty of Accession of the United Kingdom to … Like transport, energy services are a service under EU law and so were outside the scope of Protocol 3. The Channel Islands are not members of the International Telecommunications Union and the UK Regulator, OFCOM, manages and licences spectrum rights of use on the Channel Islands’ behalf. The Channel Islands are part of the Common Travel Area (CTA) with the UK and Ireland. So which countries are in the European Union, which countries aren’t, and are countries like Guernsey and … Competition policy For those areas previously covered by Protocol 3 (and hence still covered during the Transition Period), EU legislation is directly applicable, and the Channel Islands are regarded as part of the UK Member State. Guernsey and Jersey’s legislation came into effect on 25 May 2018, the same date as the GDPR and the LED. The Bailiwick ranked 10th in the world in 2015 with an average life expectancy of 82… It does not derive from EU law but predates it and hence was not linked to Protocol 3. Both have had tax crimes as a predicate offence for AML purposes for more than a decade. One distinct advantage to Guernsey insurers not being part of the EU must not be overlooked. For example, the Channel Islands are covered by the UK’s ratification of the Basel Convention on the control of trans-boundary movements of hazardous waste and their disposal, although for the purposes of the EU’s implementing legislation in this area they were third countries. There is close bilateral cooperation with the UK and France on maritime protection. The OECD Convention was extended to Guernsey and Jersey in 1990 and they are part of the UK for the purposes of its membership of the OECD. Looking to Asia, captives writing Singapore-based risk on a non-admitted basis have an added advantage over local insurance companies, in that the 7% local GST is not applicable where the premium transaction is offshore. Under the leadership of Chief Executive Rupert Pleasant, the agency ensures that the core values and competencies of the island's finance sector are accepted and respected by the global community and that financial business development flows are enhanced. EU nationals are not subject to any visa controls. THE European Union has 28 member countries – but Europe itself has 50 nations. These international standards have often been transposed into EU law, and built upon. Further details can be found in the separate note“The Channel Islands and Brexit”. Comprehending and appreciating the issues as well as staying on top of ongoing developments is key to the successful and ongoing compliance of any captive insurer. For example, the Islands’ airports have been formally assessed by the European Commission as meeting EU aviation security standards – an assessment endorsed by the EU’s aviation security committee. Each Bailiwick has significant marine energy resources (both wind and tidal current) that, if developed, could be exported into the EU to assist with climate change commitments. This requires the operator (the airline or ferry company) and the airport or port to comply with relevant EU standards. So, for example, in the application of their residency policies they cannot favour, say, British nationals over other EU nationals. The US and Canada both offer opportunities for local policyholders to file and settle premium taxes and charges on behalf of their captive insurers. The Channel Islands are not members of the International Telecommunications Union and the UK Regulator, OFCOM, manages and licences spectrum rights of use on the Channel Islands’ behalf. The EY classification doesn’t determine the length of time stock is to be static in a warehouse before it becomes ‘property’ (classes 8 and 9) versus ‘goods in transit’ (class 7). This had hitherto been governed by Protocol 3 of the UK’s Accession Treaty. However virtually all aviation and shipping links from the Channel Islands are to the UK, France and other EU destinations. The Channel Islands were outside the Common Agricultural Policy (CAP): they did not pay into nor received funds from the EU budget. Whether you're an EE or EE Legacy customer, find out exactly how much it costs to make and receive calls, text and send picture messages in Guernsey. The PA news agency looks at key questions on travel to the EU in 2021. 0800 840 2050 during office hours ONLY (08.00 to 17.00) Customer log in: User name Password Log in As specialist finance centres, Guernsey and Jersey recognise the important role they must play in tackling financial and economic crime, particularly as regards AML/CFT. Non-EU-based captive insurers may be able to take advantage of the locally based policyholder to file premium taxes on their behalf in Germany. Well, the Channel Islands (Jersey, Guernsey, Alderney, Sark and Herm) are NOT part of the UK or the European Union for VAT purposes. Jersey and the European Union. In the wake of this announcement, Guernsey’s chief minister, Jonathan Le Tocq, wrote to the European tax commissioner Pierre Moscovici to welcome the news. The population growth rate is 0.775% with 9.62 births/1,000 population, 8 deaths/1,000 population, and annual net migration of 6.07/1,000 population. There is close bilateral cooperation with the UK and France on maritime protection. Such people do enjoy full free movement rights throughout the EU (including the right to work and reside). ""EU provision" has the meaning given in the European Union (Brexit) (Bailiwick of Guernsey) Law, 2018, and includes an item of Preserved EU law within the meaning of that Law,", and in the definition of "implementation", for "Community provision" substitute "EU provision". Like the UK and Ireland, Guernsey and Jersey are outside the visa/check-free Schengen area and so operate border controls for flights or ships arrivals from countries other than the UK or Ireland. In the ongoing desire for global compliance, solutions are being sought to deal with ‘difference in conditions/difference in limits’ (‘DIC-DIL’) covers and other non-admitted coverages underwritten by captives. All rights reserved | info[at]channelislands.eu, Channel Islands: Tuesday, December 15th, 2020 21:32 | Brussels: +1 hour, The right to reside and the right to work, Channel Islanders and EU free movement rights. The median age for males is 40 years and for females is 42 years. This provides for passport-free travel and simplified entry procedures for business visitors and tourists. Further details of the financial services industry in the Islands and of the relationship with the EU can be found in the separate note “Channel Islands-EU – Financial Services“. This measure of the difference, in water … The main areas of direct impact are those previously covered by Protocol 3. Air and sea links are vital for small island economies like Guernsey and Jersey. Air and sea links are vital for small island economies like Guernsey and Jersey. However, Channel Islands consumers going abroad (and UK/EU consumers visiting the Channel Islands) do not currently benefit from the lower voice and data charges secured by the EU Roaming Regulations. Guernsey and Jersey immigration rules, including with respect to visa requirements, are aligned with those of the UK immigration rules. They therefore make a very important contribution to the economy and to community life in both Bailiwicks. Guernsey, and other such international finance centres, committed to addressing the EU's concerns about a supposed 'lack of economic substance' by introducing so-called substance legislation by the end of 2018, in order to stay off the proposed EU … The Bailiwick of Guernsey is also not part of the European Union. However, the Channel Islands’ own legislation deals with competition questions in a manner consistent with treatment of similar questions under EU competition law. Virtually all manufactured goods are imported. Further details of the regulatory cooperation between the Channel Islands and the EU on financial crime can be found in the separate note “The Channel Islands and the EU: tackling financial crime“. Protection of the environment on land and in the surrounding marine areas is crucial for the unique ecosystems of the Channel Islands. Guernsey and Jersey are among a small group of third country jurisdictions that are the subject of a European Commission “adequacy decision”, meaning that they have been officially assessed as meeting EU data protection standards. In Belgium alone FiscalReps have sub-classified these 18 classes into more than 150 for the purposes of accurately coding products and subsequently calculating premium tax and parafiscal charges for their clients in this country. In Guernsey, EU Nationals and those from the European Economic Area, will have to apply for a visa via the UK online system, on top of their local employment permit. However, the Channel Islands’ own legislation deals with competition questions in a manner consistent with treatment of similar questions under EU competition law. Guernsey and Jersey voluntarily implement all EU sanctions, including asset freezes. Guernsey and Jersey’ domestic data protection legislation is based on EU law. Authorities may also take a different view on ongoing compliance by non-EU insurers, to regularisation of a historical position for the insurer looking to seek compliance. 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