The Bailiwick, as a governing entity, embraces not only all 10 parishes on the Island of Guernsey, but also the islands of Herm, Jethou, Burhou, and Lihou and their islet possessions. The Bailiwick of Guernsey also administers some aspects of two nearby crown dependencies (Alderney and Sark), and the island of Brecqhou.
Although its defence is the responsibility of the United Kingdom, the Bailiwick of Guernsey is not part of the UK; and while it participates in the Common Travel Area, it is not part of the European Union. The Bailiwick of Guernsey is included (along with the Bailiwick of Jersey) in the grouping known as the Channel Islands.
Unlike many countries, Guernsey has not delegated money-creation to the central bank and has instead issued interest-free money from 1822 to 1836, stimulating the growth of economy after Napoleon’s wars without creating public debt and without increasing taxes. Also gold and silver coin remained money in Guernsey in the period 1822 to 1836 – and indeed long after.
Financial services, such as banking, fund management, and insurance, account for about 32% of total income. Tourism, manufacturing, and horticulture, mainly tomatoes and cut flowers, especially freesias, have been declining. Light tax and death duties make Guernsey a popular offshore finance centre for Private equity funds. However, while Guernsey is not a member of the European Union, the EU is forcing Guernsey to comply more and more with its rules. As with other offshore centres, Guernsey is also coming under pressure from bigger nations to change its way of doing business. Guernsey is changing the way its tax system works in order to remain OECD (and EU) compliant.
Victor Hugo House wrote some of his best-known works while in exile in Guernsey, including Les Misérables. His home in St. Peter Port, Hauteville House, is now a museum administered by the city of Paris. In 1866, he published a novel set in the island, Travailleurs de la Mer (Toilers of the Sea), which he dedicated to the island of Guernsey.
[responsivevoice_button voice="UK English Female" buttontext="Listen to this Post"](Latest update: 9 December 2023) Over the coming months, the world will now experience not only how individual states will deal with the global coronavirus pandemic, but also how governments can or cannot intercept the consequences. It can be observed in real time how a real and worldwide crisis is reacted to, who has made provisions and built up reserves or has only wobbled. Already the unemployment numbers and the number of bankruptcies in the first few weeks will provide sufficient information and thus also g...
