With no GST the States must cut its costs, says industry
CUT the cost of government and encourage the growth of new businesses, industry groups have urged the States after deputies voted against the prospect of a goods and services tax.
Proposals to investigate the controversial tax as part of the Personal tax, pensions and benefits review suggested it could raise some £50m. at 5%.
But while its authors warned its defeat in the States could have knock-on effects on other proposals, such as increases to personal tax allowances, Confederation of Guernsey Industry chairman Larry Granger, pictured, said there were other ways of raising revenue.
'CGI believe that the cost of government is too high and we should be looking at reducing this. We also believe there are many avenues that can be explored with a view to raising revenue,' he said.
