Jersey spends £656k on its LVCR challenge

JERSEY'S bill for challenging the UK's decision to scrap VAT-relief for cheap goods shipped from the Channel Islands will be more than eight times higher than Guernsey's.

A written question revealed that Jersey spent £656,370.67 for its legal advice for the unsuccessful judicial review brought against the UK after it targeted the Channel Islands alone over low value consignment relief, which had been key in the fulfilment sector setting up in the islands.

Guernsey's Policy Council says it will spend up to £75,000 on legal services - an increase on its original £60,000 budget because the campaign group Ravas joined the proceedings at a late stage. Both islands are still waiting for confirmation of the costs awarded against them - but they will be split evenly between the two.

'When making the decision to seek judicial review on the decision to dis-apply LVCR in respect of the Channel Islands, the Law Officers Chambers anticipated that the legal fees would in the region of £60,000,' a Policy Council spokesman said.

'The final invoices are yet to be received but due to the late addition of Ravas to the case it is anticipated that the costs will be over budget by no more than £15,000.'