Guernsey Business, Taxation and Offshore Information
Guernsey is not in the EU Fiscal Area
The Bailiwick of Guernsey is one of two British crown dependencies that make up the Channel Islands, the other being Jersey. The bailiwick is self-governing, except that Britain is responsible for Guernsey’s external affairs, including negotiations with the European Union. Under the UK's accession treaty with the EU, Guernsey forms part of the single market but is outside the EU’s financial area. Guernsey does not generally enter into double tax agreements, but has treaties with the UK and Jersey.
Economy Buoyant but Guernsey is Full Up!
Guernsey has a buoyant economy dominated by the finance sector. Unemployment is very low. The political stability in Guernsey together with its consistently low tax status and its international reputation as an important financial centre make it an attractive prospect to foreign investors and workers. To protect the island's limited resources, the government tends to discourage labour-intensive inward investment from non-residents. There are no investment grants or incentives, but electronics and other knowledge-based industries have been encouraged. More »