Thanks for the reply fhumbert
I am aware that under the British Nationality Act, time of stay in Channel Islands is counted as being in UK for the purpose of nationality. However, the Immigration rules say differently and do not recognise time of stay in the Channel islands for the purpose of computing 5 years continuous stay for granting ILR. I believe the rules on this are not very clear and I have heard of people who have had success in getting their time of stay in Jersey counted towards the 5 year rule. However, it comes down to the interpretation of the case officer and if they go strictly by the Immigration Rules, the application can be rejected and an appeals process will have to be followed. It is clear that the RULES cannot override the provisions of the British Nationality ACT, but there seems to be no clear policy followed by the case officers.
It would be good to hear a response from someone who has been through this process and can provide an insight on the definitive stand taken by the UKBA.
Cheers
Jerseyguy