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Economy and Banking Sector of Guernsey

Financial Services

Financial sector of Guernsey is focused on providing the following financial services:

  • offshore banking
  • fund management

Banking Focus

Banks in Guernsey are mainly focused on the following areas:

  • private banking
  • wealth management
  • wealth management

Banking Supervision

Guernsey Financial Services Commission

Banking Sector Structure

Number of Banks
23
Consolidated Assets (2016)
119.72 bln GBP  (+17.48%)

Currently there are 23 credit institutions operating in Guernsey.

In 2016 consolidated banking assets in Guernsey were 119.72 bln GBP. The consolidated banking assets' evolution is shown at Chart 1 below.

Consolidated banking assets in Guernsey.

Chart 1. Consolidated banking assets in Guernsey.

All the credit institutions operating in Guernsey can be classified into several categories. Table 1 summarises the number of banks in each category.

CategoryNumber of Banks
Banks9
Branches of foreign banks14

Table 1. Number of banks by category in Guernsey.

Deposit Guarantee Scheme

Maximum Protected Amount
50,000 GBP

Deposit guarantee scheme is a financial stability mechanism implemented in many countries to protect bank depositors against the loss of their deposits in the case when a bank is unable to meet its obligations to depositors by compensating certain deposits held by depositors of the bank. This compensation is paid out from the contributions which banks have made into a deposit guarantee fund.

From a depositor's point of view it is important to know:

  • if the depositor is eligible within the terms of the deposit guarantee scheme;
  • if the depositor's bank is a participant in the deposit guarantee scheme;
  • if the depositor's type of deposit is covered by the deposit guarantee scheme.

All these details about deposit guarantee scheme in Guernsey are summarised in Table 2.

Maximum Protected Amount
50,000 GBP
Scheme Participants
all credit institutions operating in Guernsey (including branches of foreign banks)
branches of Guernsey's banks abroad
Eligible Depositors
natural persons
trustees of a Guernsey Retirement Annuity Trust
Guernsey-registered charity
sole traders
partnerships
Non-Eligible Depositors
companies
Covered Accounts
deposits by a natural person for his own benefits
account held by a parent for the benefit of his/her child
Paid In Currency
GBP

Table 2. Deposit guarantee scheme in Guernsey.

Further Information

Country Ceiling for Deposits

Moody's country ceilings for deposits specify the highest rating that can be assigned to local- or foreign- currency denominated deposit obligations of a bank or other deposit taking institution domiciled within that country.

Local Currency (Pound sterling)
-
Foreign Currency
Aaa (prime)

Foreign currency deposit ceiling for Guernsey is Aaa (prime).