Banking

Offshore banking is central to the Channel Islands financial services industry. Major banks from Continental Europe, North America and South Africa first opened offices in the Islands over 40 years ago. Channel Island banks are now used by clients in more than 200 countries worldwide with a sizeable proportion of deposits held in foreign currencies, a reflection of the international appeal of the Island and the complexity of the banking industry. In total there are 96 banks licensed in the Channel Islands, 47 in Jersey and 49 in Guernsey. Total deposits amount to £325bn at 30 June 2008 (source JFSC & GFSC).

The branches and subsidiaries of the major banks established in the Channel Islands must meet strict regulatory requirements and international best practice. Investor protection and confidence in the local banks and systems and industry reputation, is reliant upon the maintenance of the highest standards.

The islands have been proactive in ensuring the retention and establishment of a number of key banking presences with HSBC, RBSI, Credit Suisse and Abbey National choosing to use either Jersey or Guernsey as their offshore headquarters, attracted by supportive governments and appropriate tax regimes. In addition to traditional services such as offshore deposits, private banking, discretionary asset management, foreign exchange and lending provided directly to their clients, resident banking groups also support the fiduciary and fund industries through the provision of global custody, treasury and money market services.

The Channel Islands have also been at the forefront of the offshore securitisation industry. Island professionals combine their skills to create sophisticated lending packages, structured finance vehicles and other bespoke products to support international capital markets activity and institutional funding.

PricewaterhouseCoopers have a long association with all aspects of the banking industry and locally, the Channel Island firm have a team of over 200 staff providing assurance, tax and advisory services.

We deliver an unrivalled level of expertise in tax planning, regulatory and structuring issues associated with the formation and running of an offshore banking operation. Combining local industry knowledge, strength of long established relationships with the major participants in the marketplace, with the expertise of professionals across our global network of firms enables us to deliver the exact combination of experience and expertise our clients require.