Amendments fail as Budget comes through four-day trial
RISES in duty on fuel, alcohol and tobacco were backed by the States as this year’s Budget debate concluded yesterday, with all but one of its 56 propositions approved.
Also passed were increases in Tax on Real Property as well as new charges for properties with high TRP ratings in a Budget that aimed to both deliver a surplus and increase States spending.
Fuel and TRP had been subject to some of a raft of amendments that had been placed, but which ultimately failed to find the necessary backing.
Efforts to increase a proposed rise in personal tax allowances were also among the amendments that failed, but nonetheless these allowances will rise, to £11,000.
The changes will see the amount of duty on an average packet of cigarettes rise from £4.99 to £5.36, with the price of beer increasing by either 2.27p or 2.84p per pint, depending on its strength.
Fuel duty goes up by 3.1p per litre.
In closing debate, Policy & Resources president Gavin St Pier addressed the subject of information technology challenges within Home Affairs, echoing Deputy Carl Meerveld’s comment that these issues were a result of years of underinvestment by successive committees.
A total of 21 technical projects had now been identified to rectify problems within Home, including a new local network for police headquarters, and these came to more than £1.5m. and another £3.3m. is expected for a new CCTV and communications system.
He said this was about stabilisation. ‘I think we all need... the strategic guidance that’s now required in respect of transformational justice and equality to enable us to then transform the IT system for its next iteration.’
The capital portfolio provided several million pounds to be put towards new technology, and P&R would provide support to help projects if required, Deputy St Pier said.
Reference had been made to this being the longest ever Budget debate. ‘Nobody could say that this Budget has not been adequately scrutinised and challenged and that has to be a positive thing,’ said Deputy St Pier.
Deputy Matt Fallaize had referred to people who were just above the benefit limits.
‘We do need to retain the competitiveness of our tax system for them as well as for many other groups,’ said Deputy St Pier. ‘That is one of the balancing acts and challenges that we face as P&R and that this Assembly faces.’
But he believed that there had been a shift during this States, which had shown its willingness to tackle some of the burden through the withdrawal of allowances, which was entering its third phase with this Budget.
Voting on the 56 propositions, as amended, was split, with recorded votes on a number of the issues.
While one amendment which directed the Overseas Aid and Development Commission to increase the percentage of GDP for these initiatives was approved, members rejected calls for P&R to be directed to look into raising these funds through alternative means of taxation such as business levies.
Budget debate Page 4
Comment Page 10
