Financial Services Commission (Financial Penalties) (Jersey) Order 2015

Summary

This Order (made by the Chief Minister under the Financial Services Commission (Jersey) Law 1998) sets out the framework and maximum levels of financial penalties that the Jersey Financial Services Commission (JFSC) may impose for contraventions of a Code of Practice or relevant enactment. It does not itself require registered persons to do anything new, but it defines the financial exposure that follows from certain compliance failures.

• Who can be penalised: Registered persons, and separately, principal persons, key persons, or persons who perform or performed a senior management function.
• Band 1 penalties: Repeated failure (more than once in 2 years) to notify the Commission of a matter required by a Code of Practice, after a prior written warning from the Commission: up to the lower of 4% of average annual turnover or 100,000 pounds for a registered person, or 10,000 pounds for an individual.
• Band 2 penalties: A contravention not falling in Band 2A or 3 and not rectified within a reasonable Commission-set timeframe: up to the lower of 6% of average annual turnover or 4,000,000 pounds for a registered person, or 200,000 pounds for an individual.
• Band 2A penalties: A negligent contravention causing or risking specified harms (financial loss to the public, damage to Jersey's reputation or economic interests, jeopardising anti-financial crime efforts, or done for commercial gain): up to the lower of 7% of average annual turnover or 4,000,000 pounds for a registered person, or 300,000 pounds for an individual.
• Band 3 penalties: An intentional or reckless contravention involving the same specified harms: up to 8% of average annual turnover for a registered person, or 400,000 pounds for an individual.
• Turnover calculation: Average annual turnover is based on the registered person's business activities in or from Jersey over the preceding 5 financial years (or shorter period of registration), and for trust company business with an affiliation, includes turnover of all affiliation members.

The current consolidated version reflects amendments through the 2026 Amendment Order. A savings provision preserves the pre-2022-amendment penalty basis for cases where a notice of intent under Article 21C was issued before the 2022 amendment came into force.

Key obligations

• Registered persons must notify the Commission of matters required by a Code of Practice within the timeframe specified by that Code, since repeated failure to do so (after a written warning) exposes them to Band 1 financial penalties.
• Registered persons found in contravention must rectify the matter within the timeframe determined by the Commission (following reasonable discussion) to avoid escalation to Band 2 penalty levels.

Applies to

registered persons, principal persons, key persons, persons who perform or performed a senior management function, trust company business (including affiliations)

Related documents

• This document is made under Financial Services Commission (Jersey) Law 1998