The Jersey Resolution Authority (JRA), formed in January to minimise the impact of bank failure on the island and ensure that public funds are protected, has set out its strategy for the remainder of 2022 and 2023, along with the key actions and planned timeframes.
As well as a necessary focus on its governance framework and internal policies and procedures, its initial areas of attention are:
• Developing and implementing the JRA's approach to bank resolution
• Building its understanding of the activities conducted by Jersey banks and determining those functions that are critical to Jersey’s economy
• Understanding the impact of Group Resolution Plans on the activities of Jersey banks.
While independent from the Jersey Financial Services Commission, the JRA continues to work closely with the JFSC to fulfil its strategic and operational goals.
The JFSC and the JRA have agreed a Memorandum of Understanding detailing how they will cooperate to meet shared aims of:
• Reducing the risk of financial loss due to bank failure
• Protecting and enhancing the reputation and integrity of Jersey
• Considering the best economic interests of Jersey.
Mike Mitchell, Chair of the JRA, commented: “While we’ve set ourselves ambitious targets to implement Jersey’s Bank Resolution Regime, we appreciate that we are at the start of a journey and we anticipate that some aspects will take several years to implement fully. I am delighted we’ve been able to quickly agree a Memorandum of Understanding with the JFSC."
Jill Britton (pictured), Director General of the JFS, added: “We have worked closely with the JRA since its establishment and the signing of this MoU further develops the open and cooperative working relationship between our two organisations.”