Guernsey Press

States' spending down for first time since 2007

THE States' net expenditure decreased last year for the first time in a decade

Published

Spending across the States committees was £9m. below budget for the year, largely due to measures specifically designed to improve the in-year financial position.

These included the reprioritisation of capital allocation plans and limiting recruitment and the use of consultants across the public sector.

These spending cuts all contributed to a decline in net overall expenditure for the first time since 2007, with a £1.4m. decrease that equated to £4.9m. in real terms.

The States Accounts for 2016, released yesterday, also confirmed a £24.9m surplus in public finances for the year.

Deputy Gavin St Pier, president of the Policy & Resources Committee, said the committees had all exercised great financial restraint last year.

He acknowledged that many of the savings made were one-off in nature and covered up 'an underlying structural deficit' in States accounts.

'While the end-year financial position is to be celebrated, as I have stated previously we are not out of the woods yet,' he said.

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