Jersey Chamber responds to Scrutiny review of ferry concession
Jersey Chamber of Commerce has submitted its response to the Economic and International Affairs Scrutiny Panel following detailed discussion with Chamber members who are directly involved in importing goods to the Island.
While responding formally to Scrutiny questions, Chamber is clear that it must stand with its members who are experiencing the real-world impacts of the first nine months of the new ferry concession agreement, particularly in relation to freight logistics. During this period, Chamber has been fully active in discussions with both the Government of Jersey and DFDS to raise issues and inform all stakeholders of any challenges from the new service.
Chamber members report increased costs, service disruption, cancelled sailings, additional port charges, and operational inefficiencies that are now flowing through supply chains and impacting consumers. These pressures are being felt most acutely on essential goods, including food, where increased costs are ultimately felt at the checkout.
A consistent theme raised by members is the absence of meaningful consultation with industry prior to, or during, the negotiation of the concession agreement. Chamber believes that earlier engagement with retailers, logistics experts, and business representative organisations could have identified many of the issues now emerging, including pricing structures, service resilience, and the cumulative impact of port and policy-related charges.
Chamber’s Scrutiny submission highlights that there is no evidence that the new flat rate freight pricing has delivered lower costs for consumers. Instead, larger importers who previously benefited from volume-based pricing have seen freight costs rise steeply, while additional port dues and policy choices have compounded cost pressures across the supply chain.
Jersey Chamber recognises the importance of long-term investment in sustainable ferry services. However, it is essential that the consequences of policy and contractual decisions are fully understood, transparently monitored, and shaped with input from those operating at the front line of Jersey’s economy.
Chamber welcomes the new Freight User Forum with DFDS and Ports of Jersey where it is hoped that the issues faced by Chamber members will be heard and more importantly listened to for the economic benefit to the businesses and people of Jersey. Chamber is also grateful for the open dialogue that exists between the Government, DFDS and Chamber both historically and moving forward.
This Scrutiny review is a timely opportunity to reflect on how consultation, oversight, and targeted policy adjustments can better protect businesses, support supply chain resilience, and limit further pressure on the cost of living for Island consumers.
