Guernsey taxpayers ‘asked to dig too deep for Alderney’

The Alderney airport runway rehabilitation policy letter prepared by Policy & Resources and the States' Trading Supervisory Board gave the £24m. estimated cost of the most expensive option – which was ultimately approved – as a ‘rough order of magnitude’.

It also assumed a rate of inflation during the life of the project – which is expected to begin in 2024 – of just 3%.

Former treasury minister Lyndon Trott, who opposed the option, claimed this cast doubt over the costings.

‘Projects of this type must be properly costed and properly presented,’ he said.

‘The fact that there was no acceptance that capital has a cost was one of the key issues throughout debate.’

He questioned the committees’ apparent ‘extraordinary belief’ that inflation would remain so low.

‘Retail inflation is running at around double figures and we are also all aware of just how significant the capacity within the construction industry is,’ he said.

Economic Development president Neil Inder also expressed concern over the veracity of the figures, saying he would lead a requete against the project if the cost suddenly increased to £36m.

Deputy Trott warned that Guernsey taxpayers were being asked to dig too deep to help fund Alderney’s economic future.

‘We don’t have proper fiscal union,’ he said. ‘We allow them to keep some of their revenues. For every person who resides in Alderney on a permanent basis – about 2,000 souls, give or take – the taxpayer of Guernsey has to contribute £5,000 in order to keep them afloat.

‘These are significant sums of money, particularly at a time when some in this Assembly are asking the people of Guernsey – and Alderney, in fairness – to put their hands into their pockets and pay more tax. We can’t keep expecting the Guernsey resident taxpayer to keep subsidising Alderney ad infinitum.’