Dec 02 - ‘Heavy Local Influence’ Helps Jyske Bank Stay Afloat through Tough Times
The Gibraltar branch of Danish financial institute, Jyske Bank, last month inaugurated its monumental physical restructure. As the only bank in Gibraltar that offers a complete 360 degree service of personal, corporate and private banking, it boasts a squeaky clean reputation, and a heavy local influence in working closely with clients.
The project, which followed a report put before the bank’s head office in Denmark, was commenced three years ago. The vision was to completely re-design the interior of the building to reflect the bank’s distinct outlook. On a tour of the Main Street Premises, Jyske Bank Gibraltar’s Client Relations Manager Albert De Las Heras pointed out the almost entirely new bank’s Scandinavian roots, present in the distinctly trend-setting fittings and amusing sauna like meeting room on the second floor.
With the refurbishment costing well into seven figures, I questioned Albert on how the bank remained afloat in a period of downsizing within the industry in Gibraltar. His response touched upon the bank’s core value of being very locally orientated and a huge allowance for flexibility from the Head Office. All clients of the bank are appointed their own personal advisor, meaning they completely avoid the route other international branches take; call centers. 
Another unique, and very welcome notion the bank subscribes to is not awarding employees with bonuses. The management claims that employees are given the incentive to provide a good and consistent service without any in house competition. With underlying Scandinavian values, the brand avoided the global embroilment of excessive lending that led to the 2008 ‘Credit Crunch’.
Although the Gibraltar branch took a hit when Barclay’s announced their well-publicized closure, earlier this year. NatWest and Jyske Bank saw a huge influx of clients requiring corporate and personal bank accounts, although some may have been deterred by the £100 a year cost of owning a personal bank account at Jyske. The bank does not offer free banking, as NatWest and Barclays do, because they don’t envision the bank surviving with such a service.
With the Government having recently announced their signing of the global tax exchange agreement (MCAA) in Germany, the financial services industry, which forms a sustaining pillar of Gibraltar’s economy, will face harsh transparency regulations. Commenting on how this move will affect banking in Gibraltar, Mr. De Las Heras noted that whilst Jyske Bank had put together a strategic change a few years ago, informing clients that they required full transparency from them, with all legalities met. He added that other banks are set to make changes to become more open and transparent also, ahead of the 2017 implementation date.
One thing the financial sector is concerned about, regarding the MCAA, is how and who it will be regulated by. They are seeking clarification on what information will be exchanged, under the new regulations.
