The IoD says that the Economic Development Minister Philip Ozouf’s policy of cutting the number of third-party service providers (3PS) – those employed by UK companies to export goods to avoid paying VAT – operating in Jersey makes the Island look weak in the face of pressure from the UK.
The minister cracked down on the companies in response to UK pressure, but has given his backing to those with a real presence in the Island.
Mr Radford also said that allowing 3PS companies to flourish and then closing them down showed little consideration for their business interests and for their staff.
His comments come following the publication of an Economic Affairs Scrutiny Panel report into the fulfilment industry which argued that Senator Ozouf was wrong to close down 3PS companies as they provided jobs for Islanders and could have grown into a significant industry for Jersey.
