Guernsey Press

States looks for ways to keep contracts local

THE virtuous circle of keeping as much money on island as possible helps everything from retail to hospitality and from IT to construction.

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Consumers and contractors who avoid the temptation to go off-island are supporting local businesses and paying the wages of taxpaying island staff.

Unlike money spent on the internet or to an off-island contractor those earnings are then available in turn to buy local goods or services such as plumbers, gardeners, accountants and architects.

It is the financial version of #GuernseyTogether.

Each household can play its part in that, making purchasing decisions with an eye on the island economy. Of course it has to be worthwhile. No one should be expected to pay way over the odds.

The States has long advocated ‘buy local’ and its latest procurement plan is a logical development of that.

In essence it wants as much of the £200m. spent by government each year on suppliers, goods, works and services as possible to go to local businesses.

Economic Development has calculated that as little as 57% is deployed on-island, which seems ripe for improvement.

The ambition is to raise that by at least 10%. Extra millions sloshing their way around the economy are a good way of raising all ships.

The States has made moves in this direction before. Island contractors submitting a tender document have an in-built advantage when the scores are totted up.

However, as the 57% figure indicates, there is much more that can be done. Economic Development hopes that it can give business a helping hand to win those all-important contracts.

This help could range from pro-actively pushing island firms towards contracts, equipping them to respond better with access to and helping with online applications.

The approach is noticeably light touch. There is no new legislation, rules or regulations. Just States staff going out of their way to be helpful.

The approach has the advantage of being quick and flexible, without recourse to the States Assembly. It remains to be seen whether it will be enough to shift millions of pounds of contracts.