Unfunded is uncharted territory

The States is planning to spend £650m. next year. Indeed it has approved it.

But it has not agreed a mechanism to fund it.

So P&R is back around the table trying to knock out a new version of the Budget, hoping to avoid the scrutiny of international rating agencies for the failure to balance its finances.

No wonder Deputy Trott was fuming – even if publicly he bit his tongue somewhat – at the end of last week’s debate, complaining of ‘inappropriate fiscal behaviour’ and saying the vote was ‘tantamount to being reckless’.

It’s an appalling footnote for this States to bow out on when it comes to Budgets, handing the next States the ‘hospital pass’ of the final vote to approve GST, while not even having the courage to fund its own spending for the next 12 months.

Whether income tax was the right move, at least it was an option on the table, while P&R appears to make an effort to tackle the island’s appalling record of spending on infrastructure – another subject for unwanted external scrutiny.

The States has always run a balanced Budget – or, on the rare occasions that it has not, it has known what it was doing.

Now we’re in uncharted territory.