Anti-GST campaign launched

Friday 06 January 2023

A campaign against GST has begun with those involved urging people to express their view by displaying red.

The States will debate Policy & Resources' tax reforms, which include a goods and services tax at 5% as well as other measures to close a predicted £100 million shortfall in public finances, at the end of this month.

Now nine deputies have got together to coordinate a campaign against moving forward with a GST.

“It was clear from the 2020 election campaign that islanders didn’t want a Goods and Services Tax but despite this, Policy and Resources is pressing ahead with one,” said Deputy Chris Blin on behalf of the group. 

“Inflation is running at the highest we’ve seen it in decades. Introducing a tax on essentials like food and fuel is cruel, and inflationary, and we must find other ways to raise the money.”

Pictured: Deputy Chris Blin.

A rally against GST will be held on Sunday 22 January, starting from North Beach Car Park at 14:00. 

Those attending will march along the seafront to Market Square where speakers will address the crowd. 

The States debate begins on Wednesday 25 January.

There will be a peaceful protest outside the Royal Court from 08:30 until 09:30.

“We want as many people as possible to join our peaceful protests and campaign. Wear a red ribbon and show everyone you are opposed to GST.”

The nine deputies who have organised the Say No to GST campaign are: Carl Meerveld, Chris Blin, John Dyke, Liam McKenna, Chris le Tissier, Simon Vermeulen, David De Lisle, Charles Parkinson and Lester Queripel.

There are 38 deputies and two Alderney States members who will vote on the tax package.

“No one in our campaign is saying we don’t realise that the States is under financial pressure, but we believe that there are better, more equitable ways of raising revenue,” said Deputy Blin.

“We also believe that the States can and must make additional savings. We want to ensure that deputies represent their electors, and the consensus of the people of the Bailiwick, by voting for Policy and Resources to come back with proposals that don’t include GST.” 

The group want people to display a red ribbon, whether that be on their house, car, in public spaces or worn personally, as a symbol of support. Car stickers and lapel badges will also be available. 

Deputy Parkinson will lead an amendment to change Guernsey’s corporate tax system to raise more money instead of a GST.

He will hold a presentation on his territorial tax plan on Monday 16 January at the St Pierre Park Hotel from 18:00.

Pictured: Free tickets need to be booked in advance through Eventbrite.

Moves are also expected to be made to delay any decision on GST until after the General Election over fears if it was passed now, the work would not be completed before then anyway.

P&R has also announced a series of public engagement events.

At 19:00 on Tuesday 10 January there will be a live Facebook Q&A with members of the Policy & Resources Committee and Tax Review Steering Group, including Deputy Ferbrache, Deputy Mark Helyar, Deputy David Mahoney and Deputy Peter Roffey.

A public drop-in will take place at Beau Sejour on Saturday 14 January from 10:00 to 12:00.

A public meeting will happen at Beau Sejour on Tuesday 17 January from 19:00. The presentation will be followed by questions from the audience,  all broadcast on Facebook as well.

Deputies will then travel to Alderney on Saturday 21 January for a drop-in at the Butes Centre.

Events are being held this month for Islanders to hear from States Members on the Tax Review recommendations.

The first event is a Live Facebook Q&A at 7pm, 10th Jan. There will also be a public meeting and drop-in events in Guernsey and Alderney. More at https://t.co/1ZC4EF6C6Y pic.twitter.com/Rwp02U5EMr

— States of Guernsey (@Govgg) January 4, 2023

The committee has been keen to stress that its package is much more than just about GST, with other elements designed to ease the burden on those on lower incomes.

The key elements are:

• A new 15% Income Tax band on everyone’s income up to £30,000. For someone on median earnings (about £37,000 a year) this will reduce their tax bill by about £900 a year.

• An increase in the personal income tax allowance of £600 which will reduce people’s bill by £120 a year.

• A broad-based GST at 5% with relief for a limited number of things like rents and mortgages. This is expected to increase household costs by about 3.4%, which would be about £1,100 for someone on median earnings.

• A restructure of Social Security contributions to give everyone an allowance. This makes the system more progressive and would mean an employed individual on median earnings gaining about £600 a year.

• Pre-emptive increases to pensions and benefits to anticipate the impact of inflation.

• A scheme to provide financial support to certain low- income households outside of the benefits system.