Guernsey - Why does MONEYVAL matter?

If you work in Finance or Professional Services, you will already know why it matters.  However, if you don’t work in either of those sectors, you might not be quite so sure.   

Guernsey’s Finance and Professional Services sectors are critical to the islands success. In terms of economic output, they contributed an estimated £1.5 billion* to Guernsey’s economy in 2023   That was roughly 44% of the island’s entire GVA or economic output.   

In terms of people, they employed circa 7,641** in June 2024.  That was somewhere in the region of 23% of our total employed population.  I would be surprised if there are more than a handful of people in Guernsey who do not know, at least, one person who is either directly, or indirectly, employed in one of these sectors.

And because of their scale, the Finance and Professional Services sectors have a huge impact on the rest of the island’s economy.  Even if you do not work within these sectors, it is almost certain that you benefit from them in one way or another.  For example, these sectors are by far the largest contributors to the island’s overall tax take.  This money goes on to help fund the island’s infrastructure and essential services such as schools, hospital facilities and social welfare that benefit everyone on the island.  

If you own a business, the chances are that some of your customers will work in Finance or Professional Services.  And because roles in these sectors are generally well renumerated, people working in them will often have a healthy disposable income making them valuable customers across a whole range of local business sectors including Retail, Hospitality and Construction.  And it is not just people working locally who contribute towards our economy.  Many people travel to Guernsey on business, and they also spend in our hotels, shops and restaurants.    

And let’s not forget the support that the Finance and Professional Services sectors contribute towards a wide range of on island initiatives which benefit the wider community.  Supporting charities, funding cultural events and sponsoring sports related activities to name just a few. It is probably true to say that some of these initiatives would not survive without the financial services industry.

Let’s be clear, every business and every job are important. So, if you are wondering why I am focusing on Finance and Professional Services it goes back to the question that I asked at the very beginning, “Why does MONEYVAL matter?”.  The recent MONEYVAL assessment ensures that Guernsey retains its position as one of the world’s leading financial centres.  The Finance and Professional Services sectors are responsible for a huge proportion of our island’s economic output; employ more people than any other sector; contribute a significant amount of tax to pay for essential services; generate significant spending power that goes back into the local economy and support a wide range of good causes.  The MONEYVAL evaluation is therefore not only excellent news for the Finance and Professional Services sectors, but also for all of the Island’s other industry sectors as well. 

What next? - Guernsey’s government together with the Finance and Professional Services sectors need to work together to promote the island and grow the economy.  If these sectors are successful, it will benefit the wider economy and everyone on the island. We should be proud of our Finance and Professional services sectors – they help to make Guernsey a better place, both economically and socially.

Souces: States of Guernsey

* https://gov.gg/CHttpHandler.ashx?id=182351&p=0

** https://gov.gg/CHttpHandler.ashx?id=183488&p=0