Westway Trust: Transfer of Assets to Le Don de Faye Trust

STATES OF JERSEY

WESTWAY TRUST: TRANSFER OF ASSETS TO LE DON DE FAYE TRUST’

Lodged au Greffe on 10th September 2024 by the Minister for Treasury and Resources Earliest date for debate: 22nd October 2024

STATES GREFFE

2024  P.60

PROPOSITION

THE STATES are asked to decide whether they are of opinion −

to agree that the assets of the Westaway Pauvres Honteux Fund and the Westaway Ecoles Elémentaires Fund under the Westaway Trust (as established by the Westaway Trust (Jersey) Law 1930) should be transferred to Le Don de Faye Trust fund and that the Westaway Trust should thereby be brought to an end.

MINISTER FOR TREASURY AND RESOURCES

REPORT

Objectives

The purpose of the proposition brought to the Assembly is to enable the transfer of all assets  from  two  Westaway  funds  (“The  Pauvres  Honteux  Fund”  and  “Ecoles Elémentaires Fund”), established by the Westaway Trust (Jersey) Law 1930, into Le Don De Faye Trust. Le Don De Faye Trust fund has similar settlor aims to the Westaway Trust and the Treasurer of the States has been the Trustee for both trusts to date.

 

Fund	Assets (2023) £’000	Income (2023) £’000
Westaway Pauvres Honteux Fund	23	<1
Westaway Ecoles Elémentaires Fund	30	<1
Le Don De Faye	1,845	66

The primary reasons for doing so are:

1. In recent years, the assets of the Westaway funds have had insufficient income to make distributions. Under the terms of the trust, the funds’ assets must be maintained  and  so  it  is  only  where  those  assets  produce  an  income  that distributions may be made. It is anticipated that this will continue unless some change to the funds is made;
2. The aims and distribution methods of Le Don De Faye Trust are consistent with the aims and distribution methods of the two Westaway funds, providing a practical solution to (1) without disadvantage or cost to the Westaway funds;
3. The transfer will facilitate the investment of the Westaway assets into the States of Jersey Common Investment Fund (the funds are otherwise too small to be added), thereby giving the funds a greater chance of generating income for distribution.

The two Westaway funds were established in 1930 and contained terms that became impractical to apply (For instance, the intention that headteachers would identify pupils’ religions for the purposes of income distribution, or that distributions would be made solely out of income, given the size of income generating assets). Whilst these terms could  be  amended  one  by  one,  it remains  the  case  that  the  funds  are  too small individually to have meaningful impact. If the funds are distributed through Le Don De Faye however, the spirit of the funds will be maintained (arguably more so than by reform since the income restriction can be kept) and administration will be more effective.

This proposition has been developed in consultation with the Westaway Donation Council, (representing the Westaway funds), the Treasurer of the States (as Trustee of Le Don De Faye fund and as representative for the Westaway funds for the States Assembly), and the Rectors and Churchwardens of the parishes, who are involved in all three funds. Furthermore, a consultation was advertised in relevant local media for any interested parties to express their views in January 2024.

History and detail of the funds

By Act of the States, the Westaway Trust (Jersey) Law 1930 was passed on 11 March 1930. The Act accepted the transfer of assets from the Trustee of the Will of the late Miss Julia Westaway to the care of the Treasurer on behalf of the States, in the process creating:

1. “The Pauvres Honteux Fund”
2. The “Ecoles Elémentaires Fund”

Under Article 11 of the Law, the income of each fund could be distributed for the funds’ aims.

The  Pauvres  Honteux  Fund’s  income  would  be  distributed  “by  the  Finance Committee…among the twelve parishes of the Island, the portion coming to each parish being in proportion to its population [based on the last Census Report data]. [The Treasurer] shall pay the amount thus found to each parish… [to be] distributed at the discretion  of  the  Constable  and  Churchwardens…  as  special  relief  among  the necessitous natives of each parish who are not at the charge of their respective parishes.”

The Ecoles Elémentaires Fund income would be used for the payment for supplies of clothing and shoes authorised by the Westaway Donation Council:

“The  Treasurer of the States shall, in co-operation with the Westaway Donation Council, and with the approval of the Finance Committee, draw up the regulations necessary both for the facilitating the carrying out of the duties of the said “Westaway Donation Council”, and for assuring effective control, from the financial point of view, for the supplies of clothing and shoes authorised by the said Westaway Donation Council”.

Per the original Will, the wishes of the settlor were that the funds would be used for “providing poor children of protestant evangelical families with clothing and shoes”. Under the Act, it was envisaged that this would involve Headteachers providing the Constable of each Parish with a list of suitable children, for the Constable to forward with comments drawn from discussions with Churchwardens regarding suitability to the Westaway Donation Council for decision.

Le Don De Faye Trust, by comparison, behoves the Treasurer to distribute the income of the fund to the Rectors and Churchwardens of the parishes annually in December, with a 1/13th of the income to each parish (except for St Clement who receives 2/13ths), then for the Rectors and Churchwardens in turn to distribute “at the sole discretion of [each]  said  Rector  and  his  Churchwardens  to  needy  parishioners  of  all  social standing”.

Le Don De Faye Trust shares several common features to the Westaway funds: a religious backdrop to the support envisaged; the distribution to parishes with account of population, via Church officers; and foremost, it focuses on provision of financial support to “needy” residents of Jersey.

Furthermore, the Treasurer, who endorses this proposal, has existing responsibility for the administrative arrangements and investment of assets of all three funds.

Financial and staffing implications

There are no material financial or staffing implications for the States arising from this proposition.

Children’s Rights Impact Assessment

A Children’s Rights Impact Assessment (CRIA) has been prepared in relation to this proposition and is available to read on the States Assembly website.