Condor Ferries already runs a service from Jersey via Guernsey

The decision to allow the company to compete directly with Emeraude Lines was made by the Harbours and Airport Committee.

Previously only Emeraude Lines was permitted to carry cars and passengers to St Malo direct from Jersey, although Condor has been running a service via Guernsey.

At a public hearing to discuss Condor's application Emeraude Lines argued there was not enough business to sustain two companies on the route.

Expanding route

Emeraude Lines' managing director Gordon Forrest, described the decision as "bizarre".

"It is not in the best interests of the island," he said.

"Particularly as the States asked the competition authority to look into the viability of the route.

"That has not been carried out, so it is an extremely bizarre decision that has been made."

Assessed again

But Deputy Gerald Voisin, President of Jersey's Economic Development Committee - which is responsible for the Competition Authority, said it was up to the Harbours and Airport Committee to decide whether to commission a report into the viability of the route.

The Committee also said that, while Emeraude Lines will have the majority of the business between France and Jersey, Condor should be allowed to compete on what is seen as an expanding route.

Both companies' licences are due to expire at the end of next year, when they will both be assessed again.