Client Weekly Update – Friday 28 October

Rishi Sunak blasted for ‘failure of leadership’ by snubbing Cop27 climate summit

Rishi Sunak has been accused of a “massive failure of leadership” after backing out of attending the Cop27 climate summit in Egypt next month. 

Liz Truss was set to attend the United Nations climate conference in Sharm El-Sheikh but Downing Street said on Thursday that Mr Sunak would instead focus on “pressing domestic commitments” No 10 also confirmed the demotion of the position of environment minister as Graham Stuart was reappointed to the role but stripped of his entitlement to attend Cabinet.

“The UK Government is supposed to hand over the Cop presidency to their Egyptian counterparts at next month’s summit. For Rishi Sunak not to show up is like a runner failing to turn up with the baton at a crucial stage of the relay,” she added. 

A Downing Street spokeswoman said Mr Sunak was focusing on domestic issues including preparations for the autumn budget, which has been delayed from Monday to November 17.

“The Prime Minister is not expected to attend Cop27 and this is due to other pressing domestic commitments including preparations for the Autumn Budget,” she told reporters. 

She said the UK will be “fully represented” by Cop26 President Alok Sharma, who also lost his seat around Mr Sunak’s Cabinet this week, and “other senior ministers”. “We remain committed to net zero and to leading international and domestic action to tackle climate change. The UK is forging ahead of many other countries on net zero,” she said. 

“We will obviously continue to work with Egypt as the hosts of Cop27 and to make sure that all countries are making progress on the historic commitments they made at the Glasgow climate pact.”

Meanwhile, Government minister Baroness Neville-Rolfe told the House of Lords the King had not been banned from attending the summit after it was announced he would not attend after meeting with Ms Truss. 

Lady Neville-Rolfe said: “There is no ban. This is a matter for the Palace.”Downing Street insisted the PM remains ‘absolutely committed’ to supporting the climate conference hosted in Glasgow last year, denying he was downgrading the importance of tackling the climate crisis. But Labour leader Sir Keir Starmer criticised the Prime Minister, tweeting: “Britain showing up to work with world leaders is an opportunity to grasp. Not an event to shun.”

Shadow climate change secretary Ed Miliband said: 

“This is a massive failure of climate leadership. We were the Cop26 hosts, and now the UK Prime Minister isn’t even bothering to turn up to Cop27. What Rishi Sunak obviously fails to understand is that tackling the climate crisis isn’t just about our reputation and standing abroad, but the opportunities for lower bills, jobs, and energy security it can deliver at home. “

”Green MP Caroline Lucas said “shame on” Mr Sunak, adding: “The first test of leadership is to turn up. The new PM’s decision not to attend Cop27 makes a mockery of any Government claims on continued climate leadership – and what a shameful way to end the UK’s Cop presidency.”

Chief Minister writes letter to new Prime Minister hoping for cooperation with UK over Brexit issues

Cooperation between Jersey and the UK’s government is required to deal with issues arising from Brexit, the Chief Minister has said in a congratulatory letter to Rishi Sunak on becoming the new Prime Minister. 

Deputy Kristina Moore wrote to Mr Sunak after it was confirmed that he had been selected as the new Conservative Party leader and spoke of the ‘positive relationship’ Jersey’s government had enjoyed with previous Prime Ministers. 

She said: “On behalf of the Government of Jersey I offer my warmest congratulations on your election as leader of the Conservative Party and appointment as Prime Minister of the United Kingdom.”

“The United Kingdom is Jersey’s closest international partner, and the links between our jurisdictions stretch back centuries. Jersey’s new government continues to place high value on the Island’s relationship with HM government.”

“The importance of our long-standing links and Jersey’s value to the UK have been reinforced recently as a result of Jersey’s role in introducing the sanctions that followed Russia’s invasion of Ukraine.”

Post-Brexit tensions have emerged between the UK and France – particularly with regards to fishing rights – as a result of the UK’s new trade agreement with the EU.

The Trade and Co-operation Agreement has superseded the Granville Bay Agreement, which allowed Norman and Breton fishermen to fish freely in Jersey’s territorial waters until February 2021. 

Jersey’s addition of the ‘extent and nature’ clause to the TCA enables the government to assess French vessels’ fishing practices and their sustainability before granting temporary or permanent licences to fish. 

However, this has caused significant backlash among French fishermen, who formed a blockade of St Helier Harbour last year at the height of the dispute.

Deputy Moore added: “As you may also be aware, there are issues arising from the implementation of the UK-EU Trade and Co-operation Agreement that require ongoing cooperation in order to ensure that day-to-day challenges can be addressed and opportunities realised.”

“Jersey has enjoyed a very positive relationship with previous UK Prime Ministers. Along with Jersey’s External Relations Minister Philip Ozouf, I look forward to a similarly warm and supportive dialogue with you and your ministerial team, to overcome challenges and to underpin the mutual success of our jurisdictions. I look forward to working with you.”

BA to cease Gatwick flights

British Airways will not operate flights between Jersey and London Gatwick after this week. A spokesperson for the airline said they would keep the situation under review. They said BA would continue to fly to Heathrow, with up to five flights a day to London from next summer. 

During the pandemic, BA moved its main London operating hub from Gatwick to Heathrow, while still operating some flights to the former. The spokesperson said that Heathrow offered ‘more connecting opportunities’, while Gatwick was ‘primarily a leisure route’.

They added: “We keep our network under constant review. Customers can connect easily from Heathrow to destinations, such as Hong Kong, Los Angeles and Sydney.”

A Ports of Jersey spokesperson said: ‘Earlier this year Ports of Jersey signed a five-year deal with BA guaranteeing services to Heathrow until 2027. This agreement is projected to result in more than two million people flying between the Island and London’s primary hub during that period.

“Research by Oxford Economics predicts that it will benefit the Jersey economy to the tune of £123m a year by 2025 and support 1,200 jobs. The Heathrow route provides connectivity for Islanders as well as enhances opportunities for both the business and leisure sectors. Jersey also benefits from easyJet serving Gatwick and regional connectivity via Blue Islands.”

Extra day trips to St Malo included in Condor’s 2023 timetable

Additional day trips to St Malo from Jersey have been included within Condor’s 2023 schedule. 

The company has confirmed its new timetable, which covers its sailings from 5 January through to 31 October and can be found online at

The schedule includes more day trips from Jersey to St. Malo, as well as the continuation of direct services to the UK and other places.

Condor’s chief executive, John Napton, said that the timetable was designed to bring travel confidence back to the Island after the pandemic: “This year, our schedule contributed to a successful summer for the local tourism and hospitality industries, and that would not have been possible with our previous timetable.”

“We have had discussions with industry partners and tried, wherever possible, to accommodate feedback, including the Island’s sporting, motor and other events, such as Siam Rugby, travel to the Island Games in Guernsey and the Weekender Festival next year,” he added.

The schedule also takes into account non-sailing days that are used as a contingency in case of weather disruption.

Counting the cost of sleep

According to research undertaken by McKinsey & Co – involving 7,500 consumers across six countries – 79% of the participants advised they believed wellness was important, and 42% thought it to be a top priority. 

Indeed, the emphasis on wellness was increasing in every geography – Brazil, China, Germany, Japan, the United Kingdom, and the United States. This same report estimates the market for better health, fitness, nutrition, appearance, mindfulness, and sleep is worth US$1.5 trillion and is set to grow at an annual rate of five to 10%. 

As investors, we see enormous opportunities for companies operating in the wellness space.

Staying with this theme and surveys, did you know one of the most common questions searched on the internet is: ‘Why do I feel so tired?’ We increasingly live in a world that demands our gaze and wants us to keep it for as long as it can. 

Whether it is succumbing to the rush of social media, the endless scroll of the internet, the auto-play of streaming services, or the always-available work culture, the end result is the same. We have never known more about the impact of sleep, yet we have never slept less.

In recent years, not getting enough sleep has become a major problem with serious effects on health and well-being. Sleep-related absence from work is thought to account for the loss of ten million working hours a year in the United States, 4.8 million in Japan, and 1.7 million in Germany. 

Lost sleep not only impairs the performance of employees at work but also raises healthcare costs for employers. 

Reversing the sleep-deprivation trend will require changing sleep culture and reigniting the importance of rest. In the interim, many businesses are eager to sell to us remedies to the problem, ranging from wearable tech to smart mattresses.

This said, some researchers advocate a far more analogue solution – a simple 15-to-20-minute day-time nap. They say there is no better way to be more efficient and productive.

So here’s a thought – how long before businesses introduce this into their workplace wellness policies?

England boys back in town

 Jersey Reds chairman Mark Morgan is ‘fantastically’ excited to be welcoming back the England men’s national rugby team to the club, who arrived in the island on Monday this week as they prepare for the Autumn Internationals. 

England returns after a successful camp last year for the same preparations, using Reds’ home ground and the adjacent Strive Health Club to fine-tune their fitness and tactics ahead of games against Argentina, Japan, New Zealand and South Africa.

England’s head coach Eddie Jones named a 36-man squad for the internationals on Monday, all of whom have travelled to Jersey for the camp, with an open training session taking place for Islanders to watch today, including Leicester’s Ben Youngs, Saracen’s Owen Farrell and Jonny May of Gloucester.

“We welcome Eddie and the guys and are delighted they have chosen Jersey for the second year running as their training base, but I think this is just another commendation of what we’ve achieved and what we’re able to offer,” said Morgan.

“We had the most amazing pre-season with three Premiership teams here (Leicester Tigers, London Irish and Bath), three weeks on the trot back-to-back. We have had the British and Irish Lions and we had England last year. We’ve already got Premiership teams queuing up to do pre-season next year. So there’s obviously something appropriate about what we can offer between us and Strive.”

“The players love coming over here. It’s not a massive journey. It’s a rugby environment. So they feel good about that. Yet they can still walk down the streets and not be pestered. So I think it’s got a lot going for it and long may that last.”

Morgan confirms that the club has invited 600 primary school children from around Jersey to watch the open training session, while tickets have been sold to recover some of the costs. “We’re really looking forward to it,”  added Morgan. “We’ve got a lot of kids that we want to get up and get interested in the game.”

Eddie Jones and his England team will leave the island this evening.

Mixed markets

European markets are lower today with shares in Germany off the most. The DAX is down 0.59% while London’s FTSE 100 is off 0.45% and France’s CAC 40 is lower by 0.22%.

Nasdaq 100 futures were lower this morning after disappointing Amazon earnings added to the already pressured index. Futures tied to the Nasdaq slid 1% Dow Jones Industrial Average futures were lower by 0.1% and S&P 500 futures lost 0.6%.

Asian markets finished broadly lower today with shares in Hong Kong leading the region. The Hang Seng is down 3.87% while China’s Shanghai Composite is off 2.25% and Japan’s Nikkei 225 is lower by 0.88%.