§ Mr. WilsonTo ask the Chancellor of the Exchequer to what extent the liabilities of the Jersey financial institutions are underwritten by(a) UK institutions and (b) the Bank of England; and if he will make a statement. [9730]
§ Mrs. Angela KnightIn general, the relationship between a parent institution and its subsidiaries is the same irrespective of where the subsidiaries are located. In the event of an insolvency, the extent to which a parent underwrites the liabilities of its subsidiaries is ultimately a matter for the courts.
The Bank of England does not underwrite the liabilities of Jersey financial institutions.
§ Mr. WilsonTo ask the Chancellor of the Exchequer what are the responsibilities of(a) the Government and (b) the Bank of England in relation to the financial institutions and affairs of Jersey; and if he will make a statement. [9729]
§ Mrs. KnightJersey is internally self-governing and has its own legislature which is responsible for matters relating to financial institutions. The UK Government are responsible for Jersey's defence and external relations.
The Bank of England includes Jersey subsidiaries and branches of UK authorised institutions in its consolidated supervision of the UK parent.