The Charities Law includes an entitlement for registered charities to receive charitable tax reliefs.
It also introduces a “charity test”, which guarantees that a registered charity can only have charitable purposes and must provide public benefit, as well as a requirement for the governors of a charity to ensure it acts in accordance with the law, pursues the stated charitable purposes and delivers public benefit.
Jersey Finance, an organisation which represents and promotes Jersey as an international financial centre, said the number of Jersey Foundations formed in the region in 2014 was nearly double that of 2013, with around a third directed towards philanthropic activity.
Geoff Cook, chief executive at Jersey Finance, said Jersey has long used philanthropy as part of its wealth management services, but added that this law would add a “welcome degree” of clarity and structure to the jurisdiction’s charitable framework.
“We expect the introduction of this law to be of particular interest to the growing number of high net worth individuals, family offices and their advisers in key markets around the world who are increasingly engaged in this area.”
Jersey’s chief minister, Ian Gorst, added: “[The Charities Law is an initiative that is very timely and important for the future of Jersey.
“It paves the way for the introduction of proportionate, common sense regulation, which will increase both consumer and observer confidence and reduce the potential reputational risks in the charities sector for Jersey.”
Last week, Jersey Finance announced that the number of funds notifying the Jersey Financial Services Commission (JFSC) of their intention to privately place into Europe under AIFMD rules has now surpassed 150.
JFSC figures showed that a total of 164 funds had opted to make use of Jersey’s private placement route into Europe.
