Garenne Group founder resigns from States roles

Stuart Falla said the collapse of the Garenne Group had caused "emotional turmoil"

A leading business figure has stepped down from two government positions after the collapse of the construction firm he co-founded.

Stuart Falla co-founded the Garenne Group which went into liquidation in March 2023.

Blaming "emotional turmoil", Mr Falla resigned as chair of the development agency and as a States' Trading Supervisory Board (STSB) member.

He compared the Garenne Group's demise to "losing a close family member".

Mr Falla, a non-political member of the STSB, was among the original founders of the Garenne Group in 1985.

On the firm's collapse, he said: "Seeing the [Garenne] group fall apart as a result of Covid-related inflation has been like losing a close family member."

'Fresh talent'

Deputies were due to vote later this year on Mr Falla's role as chair of the new development agency.

But Mr Falla said it was time for "fresh talent" to make the agency "something truly game-changing."

Last week the Guernsey Press reported that funding for the new agency was set to be cut.

Meanwhile, creditors of the Garenne Group's various companies were told they were unlikely to receive any money back.

The Garenne Group included Granite Le Pelley, AFM, Camerons and Rabeys Commercial Vehicles, which has since collapsed.

AFM and Granite Le Pelley underwent management buyouts in April 2023.

Deputy Peter Ferbrache, president of Policy and Resources, thanked Mr Falla, adding: "We have been very fortunate to have someone with his exceptional experience and proven track record working with us for the benefit of the community."

STBS president Deputy Peter Roffey said: "His contribution to the States' Trading Supervisory Board has been quite exceptional and he has played a big part in developing the STSB since its inception."

Analysis by John Fernandez

The timing of this resignation will raise questions about Mr Falla's initial suitability for the role as chair of Guernsey's first development agency.

Many States members hoping for an injection of new blood had expressed their frustration at a member of "the old guard" being appointed to this new role.

Hanging over the appointment was also the risk that States members may turn around and reject it when it came to the States for ratification.

One of the big remaining questions is: "What next for the development agency?"

Who will want to lead an organisation that has had its funding cut and has already seen States members getting involved in a space that those behind the concept had hoped would lead to some "private- sector thinking" without government meddling?

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