Submission - Arm’s Length Bodies, Grants and Subsidies Review - Jersey Business - 12 December 2025

31 The Parade, St Helier, JE2 3QQ  Telephone: +44 (0)1534 610 300  Email: [email protected] www.jerseybusiness.je

Deputy Inna Gardiner

Chair, Public Accounts Committee

  12th December 2025

Dear Deputy Inna Gardiner ,

Please see below our response to the further information requested to aid in the review of Arm’s Length Bodies dated 24th November. Questions and responses in line below:

1. Please can you confirm the total marketing spend for the years 2022-2025, broken down  by  on-island  and  off-island  campaigns  and  further  broken  down  by  staff remuneration and consultancy costs?

Marketing & Promotion of services and economic challenges

2025  £71,565 3.9% of grant

2024  £76,916 4.42% of grant  All figures represent 2023  £89,738 4.78% of grant  consultancy costs

2022  £18,972 0.9% of grant

• All campaigns and associated expenditure over the period 2022 to 2025 relate solely to on-island campaigns

• JB has just completed an on-island competitive tender process for our outsourced 2026 marketing campaign requirements, ensuring value for money whilst maintaining quality of service

• Marketing investments are isolated in our financial statements, separate from Jersey Business (JB) team remuneration. Therefore, the figures shown relate to outsourced support. Within our own team, we have 2 FTEs with a broader remit, including target audience engagement, event management, day-to-day marketing activity, etc.

2. What efficiency and productivity increasing measures have you taken within your own organisation to improve value for money internally?

We have focused on value delivery in several ways. We are committed to guiding principles that have three pillars outlined in our Business Plan: We -

1. operate as a business empowered by data, knowledge, and insights.
2. provide value by reducing service costs and enhancing individual and organisational productivity, with an emphasis on achieving meaningful outcomes and impact.
3. leverage people, lean and standardised processes, and technology to achieve this.

Over the past two years, a strong emphasis on organisational redesign prioritising our own productivity while continuing to deliver a trusted, high-quality service has been critical as JB experiences both an expansion in the scope of work and a growing number of engagements with an increasing baseline of businesses. This focus included:

1. The early adoption of Microsoft Copilot (AI) in April 2024 across the JB team has saved time and enhanced the quality of work, enabling the team to focus on more engaging tasks with greater impact. This adoption has delivered an estimated 20% reduction in time spent on routine activities and provided a ‘virtual assistant’ to support thinking and research—continuing to drive a forward-thinking, high- performing culture
2. The launch of a data project in 2024 to capture and analyse data and insights on inputs, time, and focus, sharing these with stakeholders to provide clarity and evidence in support of delivery and service. These insights not only shape and inform how we deliver but also allow for more meaningful and specific performance reporting. Furthermore, the data provides leading and lagging indicators of market challenges, opportunities, and emerging needs – delivering significant benefits for tactical decisions, assessments, and knowledge sharing.
3. A ‘spend to save’ initiative, launched in 2023 and concluded in 2025, enabled a fundamental redesign of our organisational structure. We moved away from a three- layer client service model—triage, generalist, and strategic—and refocused expenditure towards a consolidated client-facing team. This shift was supported by the deployment of technology and streamlined operations, delivering cost savings and creating clearer, more defined roles within the team. The results speak for themselves: an NPS consistently between 70–75, excellent customer feedback, and improved efficiency without compromising service quality. Achieving savings, efficiency, and service retention simultaneously is challenging, but this change has proven highly effective in driving value.
4. The launch of a chatbot has enabled clients to quickly self-serve from resources available on the JB website, both during and outside office hours. This ensures timely, effective access to guidance and information 24/7, while freeing up our people to focus on deeper, more impactful client engagement.
5. JB rose to the opportunity to manage and deliver the Better Business Grant initiative launched in Q1 2025, realising the MSED ambition to create an efficient, client- centric journey while embedding governance rigour and comprehensive reporting into our delivery approach. Through the implementation of a dedicated digital platform, we enabled over 2,000 interactions and a fully digital application process for businesses. Client ratings have been excellent, and this scale of delivery and

service quality would not have been possible   without the platform—avoiding significant additional resourcing and lengthy

turnaround times

6. In 2026, we have ensured that resource focus and allocation are clearly defined and aligned with our objectives. Our mapping confirms that 81% of client-facing time will be dedicated to tactical support, with a further 15% invested in strategic projects and development. Further details can be found in our Business Plan 2026 document, soon to be published on the JB website.

Bringing this back to the impact over the past two years: in 2024, demand and engagement grew by 29% despite a 7% reduction in funding compared to 2023. In 2025, JB experienced a further 30–50% increase in demand and engagement, alongside an expanded remit with the introduction of the Better Business Grant (BBG)—covering support, promotion, reporting, and deployment. Importantly, this growth was not solely driven by BBG; it reflects our strengthened ability to influence and support businesses across the board.

Looking at economic growth, the Jersey Economy 2024: GDP and GVA report (dated 3 October 2025) shows growth in areas JB provides support. While we are not claiming full attribution, these findings highlight the alignment between our activities and positive economic trends.

 

% GVA Change
Agriculture	+5.9		Agricultural jobs grew by 80 jobs, now with 180 business undertakings in the sector
Construction	+1.3
Wholesale & retail	+3
Other services	+9.3
Accommodation	(3.1)
Whole economy	(0.7)
International trade in goods (exports)
Agriculture		From £53m to £64m
All sectors		From £113m to £161m
Labour Market Report June 2025
Growth  150  undertakings  year-on-year  (Jun-24  →  Jun-25),  broadly  in  line  with  the ~200-per-year average over the last decade
The count of single-person undertakings in Jersey has climbed to 5,000, marking a new high

3. In your annual report and accounts 2024 you mention Client Event income (£49,082), interest income (£6,654) and Sponsorship income (£7,945). Can you provide some more  details  about  these  and  to  what  extent  are  you  looking  to  increase  income generation and how?

This income is derived from subsidised programmes fees and a commercial sponsor of the JB Productivity Conference. We have taken the view that programme fees whilst subsidised, facilitate a value exchange for the service and, from experience, a stronger attendance commitment.

The concept of the commercial sponsorship of events has been tested, and it remains our intention to continue testing as appropriate.

a.  How much of this is driven by Government of Jersey direction?

Government frequently promotes critical thinking and creative approaches—both directly and indirectly—while operating within budget constraints. This has inspired us to adopt the same mindset, encouraging productivity and innovative thinking in our own actions.

4. Please provide any consideration as to the size of your Board, and confirm if any recommendation has been given by the Government of Jersey in this regard?

Our small Board comprises three non-executive members and one executive, each bringing a diverse range of skills, perspectives, and experience. We maintain an agile structure and foster a strong culture of action and governance—an approach consistently supported and encouraged by Government.

5. Do you believe there is a need for further reviews of your own or other Arm’s Length Bodies, either separately or jointly?

I believe the existing framework – reporting, KPIs, business plans, annual reports, and established relationships – delivering the objectives of Government of Jersey, should provide a solid basis for performance accountability and assessment. A formal review process that demands significant time, labour, and resources could risk diverting focus from the core role of ALOs/ALBs. Tactical assessment should remain a natural, continuous feedback loop, ensuring transparency and shared understanding. Where concerns arise, whether around funding, gaps in knowledge, interpretation of value, or perceived over-investment – these should be openly discussed with all parties, creating an opportunity to address issues collaboratively and respond effectively.

6. In your view would establishing a joint premises for Arm’s Length Bodies provide efficiencies and what considerations have been held on this matter?

Jersey Business and Jersey Product Promotion Limited are progressing towards a joint premises arrangement from January 2026. This demonstrates that, in certain circumstances, such an approach can be appropriate. However, it is not a straightforward or universal solution; each case requires careful assessment. While direct financial savings are often limited, co-location can foster proximity and collaboration under the right conditions.

From a client perspective, there are two key considerations:

1. Accessibility – A single location may make it easier for clients to access multiple services.
2. Confidentiality – Some ALOs require private settings to maintain discretion.

Ultimately, organisational culture is critical. Bringing teams together can be challenging, and while efficiencies may be achieved, any decision must be underpinned by thorough evaluation and caution.

This activity reflects the outcome of recent proactive discussions, where natural alignment between the two organisations supported integration within Jersey Business. This development arose organically through exploration, rather than as a result of any external directive.

7. In your view would establishing joint boards for Arm’s Length Bodies provide efficiencies and what considerations have been held on this matter?

The concept of joint boards has been raised previously but has not progressed to formal discussion. An initial review suggests there are variations in board size, costs, and composition across ALOs. However, these differences—and the associated direct and indirect benefits—are not always apparent to an external observer, nor are the full governance requirements.

At Jersey Business, board structure and performance are regularly reviewed. Our experience reinforces the value of maintaining a small, focused board, which we believe is key to effective governance and decision-making.

8. In your view would narrowing scope or objective of any Arm’s Length Bodies provide efficiencies and what considerations have been held on this matter?

Regularly focusing time, resources, and outcomes is essential, and testing this focus is critical to meet stakeholder expectations. Since 2023, Jersey Business has narrowed its scope from six areas to three:

• Productivity

• People

• Data Sharing (knowledge diffusion)

These areas are fundamental to addressing economic challenges and driving business success. Evaluating the value of scope—alongside short-, medium-, and long-term performance and future investment models—is key. Both macro and micro assessments, viewed through different time horizons, would be advisable.

I would also not overlook the value delivered by ALOs and the expertise they hold. Asset utilisation and knowledge transfer represent significant benefits to the economy, often enabling Government to deliver with greater speed, agility, and at a lower cost. These factors should form part of any assessment process.

 

9. Jersey Business was originally an amalgamation of Jersey Business Venture and Jersey Enterprise can you advise if you feel this is a roadmap other Arm’s Length Bodies could follow in terms of combining?

Jersey Product Promotion Limited and Jersey Business will be combining in January 2026, which demonstrates that such an approach can work under the right circumstances.

I would remain open to these considerations, but recommend a defined period for review and decision-making, followed by clear determination. This ensures businesses remain unaffected and teams can focus without uncertainty. Continuous speculation and unclear direction hinder performance across ALOs, ALBs, and Government. For clients, prolonged ambiguity can create uncertainty and erode confidence in the services they rely on; a clear, structured process would provide reassurance, stability, and a seamless experience.

I would also strongly advise that any assessment team includes experienced M&A professionals to provide the necessary expertise, ensure robust evaluation, and maintain clarity of objectives throughout the process.

10. Would joint procurement by any of the Arm’s Length Bodies provide efficiencies and what considerations have been held on this matter?

Leveraging  collective  buying  power  can  deliver  efficiencies  in  certain  areas.  Government procurement examples include technology, software, refurbishment, hardware, and employee benefit extensions. Providing ALOs and ALBs with access to these pricing structures would be a practical starting point to assess potential savings and advantages. If the value proves limited, this can be quickly determined through a structured review.

Yours sincerely,

Paul Murphy

Chief Executive Officer Jersey Business Ground Floor

31 The Parade

St. Helier

Jersey

JE2 3QQ