ESS in race to prepare new income support rates
Employment & Social Security faces a race against time to set up changes to benefits, which are relied on by thousands of islanders.
The States was due to vote last week on proposals to increase income support, family allowance and numerous other non-contributory benefits from the first week of January.
But the Assembly ran out of time after failing to conclude debate on the draft 2024 Budget and has adjourned its unfinished business until next week.
Officials require several weeks’ notice to prepare for the new rates, once they have been agreed by deputies.
‘The situation is extremely difficult for us,’ said ESS president Peter Roffey.
‘It is certainly an inconvenience and our staff will be in a bit of a scramble to get this done.
‘It’s a real push, but I think we will just be able to do it.’
When the Assembly resumes next Wednesday, until Friday if necessary, it will first continue debate on the draft 2024 Budget, which still faces five amendments, and potentially more if Policy & Resources submits further motions between now and then, followed by general debate.
ESS’s annual benefits uprating policy letter is due to be debated after the Budget.
It is proposing an increase of 6.8% to a range of benefits.
That would be worth nearly £30 a week to some couples on income support with three children.
It would also mean another £3.30 a week in family allowance payments for households not in receipt of income support, with three children.
Deputy Roffey warned that failure to agree new rates of benefit next week would almost certainly delay payment increases to thousands of islanders.
‘We think we can still do this, so long as there is definitely a decision the next time the States meets,’ he said.
‘If it’s not dealt with next week, I don’t think we will be able to get the uprating changes in place for the start of the year.’
Even before the delay, ESS was already using an improvised procedure to get legislation in place to allow it to pay new rates from January.
‘The way we are having to do it is to submit legislation now for the December States meeting which assumes the States has approved our policy proposals on the new rates.
‘If it rejects them, we’ll have to amend our own legislation at the time,’ said Deputy Roffey.
Policy & Resources’ treasury lead Mark Helyar said his committee did not face the same race against time over its deferred Budget proposals.
‘It’s not so bad for Revenue Services, in terms of income tax, because we have powers to impose things without the States necessarily having agreed them first,' he said.
'But ESS is going to be very hard-pushed to get this all done before the end of the year.'
