Jersey’s Financial Services Unit announced enhancements to the Jersey Bank Depositors Compensation Scheme aimed at making it faster and simpler for eligible depositors to receive compensation of up to GBP 50,000 if a Jersey bank fails. The changes take effect from 1 April 2026 under a Commencement Order signed by Deputy Ian Gorst, Minister for External Relations with responsibility for financial services. From 1 April 2026, the scheme’s target payout timeframe will reduce to seven working days, compensation will be paid automatically for most eligible depositors, and the existing GBP 100 million cap on total compensation payable in any five-year period will be removed. Administration of the scheme will also transfer from the Jersey Bank Depositors Compensation Board to the Jersey Resolution Authority, which will be renamed the Jersey Resolution and Depositors Compensation Authority to reflect its expanded remit. Once the transfer is completed, the government plans to review the scheme’s scope, including whether the GBP 50,000 per person compensation limit remains appropriate, with a decision expected in 2027.
Financial Services Unit (Jersey)2026-03-09
Jersey Financial Services Unit accelerates automatic depositor compensation to seven working days and removes GBP 100 million scheme cap
Jersey’s Financial Services Unit announced enhancements to the Jersey Bank Depositors Compensation Scheme, effective 1 April 2026, to expedite payouts to eligible depositors within seven working days and remove the GBP 100 million cap on total compensation. The scheme's administration will transfer to the newly named Jersey Resolution and Depositors Compensation Authority. A review of the scheme's scope, including the GBP 50,000 per person compensation limit, is planned for 2027.