blog.gov.jeMinister for Treasury and Resources, Deputy Elaine Millar
I am pleased to present the 2025 Annual Report and Accounts, which sets out the financial performance of the States of Jersey, alongside facts and figures showing the scale and breadth of services provided to Islanders.
We remain committed to delivering the best possible outcomes for the Islanders we serve. At the same time, we recognise the importance of ensuring that our decisions are both affordable and sustainable for the Island, its economy and its public finances.
We have demonstrated meaningful progress in delivering against the commitments set out at the start of this Council of Ministers’ term of office. We are continuing to deliver the key priorities from our Common Strategic Policy (CSP), while maintaining the services Islanders rely on daily. From support with cost-of-living pressures through measures such as free school meals, the transition to the living wage, and further assistance with GP fees, to strengthening business support and improving our environment, our focus remains firmly on meeting current needs while preparing for the future.
Jersey’s strength remains grounded in our disciplined approach, our commitment to spending responsibly and our ongoing protection of the Island’s reserves. Our continued focus on prudent decision making supports lasting stability and confidence for Islanders. Whilst there are challenges ahead, these accounts demonstrate the continued progress we are making to maintain Jersey’s strong public finances, as confirmed by upholding our strong credit rating, while improving the delivery of essential services for Islanders.
General Revenue Income exceeded £1.2billion, broadly in line with forecasts, while net
departmental expenditure reduced slightly, resulting in an operating surplus, before
depreciation of £50million. This outcome reflects improved controls on expenditure, the
impact of some of our assets improving in value and a pragmatic reduction in the States
Grant to the Social Security Fund.
The strength of our dedicated Social Security Fund and its Reserve Fund has enabled us to support Islanders whilst we continue with measures to improve the long-term sustainability of our finances. It is appropriate to use the balances held in this fund to pay benefits as it was established specifically for that purpose, with contributions collected over time to ensure that current and future benefit obligations can be met in a sustainable and transparent way. The substantial balance in the Social Security Reserve and strong investment returns have ensured that the fund balance has continued to grow. Progress has also been made across several major programmes. In taxation, we advanced the transition to independent taxation for married couples by 2026 and continued implementation of the global OECD Pillar 2 framework.
As we move into 2026, we remain focused on fulfilling the ambitions of our CSP while protecting the long-term health of our public finances by continuing to secure savings, control expenditure and uphold our commitment to live within our means. Increasing healthcare demands, demographic pressures, the continued cost-of-living challenges felt by Islanders and the need for sustained investment in infrastructure all reinforce the importance of careful planning and responsible decision-making.
We must maintain our focus on curbing unnecessary growth in the public sector, ensure we spend wisely and manage expenditure carefully, so that we avoid placing unnecessary strain on our financial position. Although our work is ongoing, the measures taken this year place us in a strong position to respond to future challenges and maintain resilience, in particular with the creation of the Jersey Capital Investment Fund. I would like to thank colleagues across the public service for their commitment and Islanders for their continued trust and engagement. Together, we remain focused on delivering value, stability, and long-term prosperity for Jersey.