Social Security Funds Remain in Strong Financial Health

The Minister for Social Security, Deputy Lyndsay Feltham, has reassured Islanders that Jersey’s pension funds are in a strong and secure position, with reserves exceeding £2.5 billion — enough to pay pensions for more than seven years without further contributions.

Responding to public concerns, Deputy Feltham said claims that the Government is misusing the Social Security Reserve Fund are “simply not true.” She emphasised that the funds are growing and will continue to do so over the next four years.

The Minister explained that the Government plans a temporary reduction in the States Grant — the amount taxpayers contribute to the funds — to free up money for key public services such as healthcare, children’s services, and childcare.

Planned investments include:

• £28 million for healthcare, including digital and preventative services

• £8 million to improve children’s services

• £3 million to expand free childcare for 2–3-year-olds

• £2 million to extend pension and family support programmes

Deputy Feltham stressed that the move “does not compromise our ability to pay pensions,” adding that Jersey’s reserves are among the strongest compared with other small jurisdictions.

She said ministers are reviewing the long-term funding model to ensure future sustainability, supported by independent advice due next year.

“Islanders can be confident their pensions are secure. We’re using our strong financial position to invest in the services that matter most,” she said.