The oxidant controlled palladium catalysed selective oxidation of primary alcohols to aldehydes or esters was investigated. The electronic properties of the benzylic alcohols and the structure of the oxidant are both important factors in controlling the selectivity between aldehydes and esters. A covalent benzyl ligand derived from BnCl provides η(3) coordination to the Pd centre. This covalent ligand is the key to the selective oxidative esterification of primary alcohols.