Lloyds TSB Domiciles Offshore Operations In Jersey

by Robert Lee, Tax-News.com, London

28 March 2003

As part of a minor restructuring exercise, Lloyds TSB Offshore has decided to domicile its holding and operating companies in Jersey, though the move is not expected to result in any job losses in Guernsey, the bank assures.

The decision was reached after a long consultation exercise with the authorities in Guernsey, Jersey and the Isle of Man at the end of which the bank decided to simplify its operations, according to a report in the Guernsey Press and Star.

Brian Acton, Lloyds TSB's island director was at pains to stress that this was not a drastic restructuring; neither would the move affect the bank's day to day operations in Guernsey. No branches or jobs were threatened he confirmed, and Lloyds TSB would still be making a contribution to the island's economy.

"It isn’t about restructuring, it is simplifying the corporate structure we have, which is a tremendous benefit to corporate governance," Acton told the Guernsey Press.

The offshore arm of the bank employs 1,200 people, of which 600 are employed in Jersey. It provides trust, treasury and fund management services to global and local clients, as well as personal and corporate banking services to the population of the three islands.

The new changes will come into affect on January 2 next year.

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