Where should our priorities lie?

Wednesday 22 April 2020

As corona virus takes its toll on Guernsey's economy, public spending is likely to be a topic for discussion during this week's virtual States meeting, but with many multi-million pound projects pending - many having already had their funding approved by the States - which should now be given priority?

Financial re-prioritisation is vital for the States, as they plan on using £100m from the rainy day fund with a further £500m in borrowing to support the island through the pandemic.

That is likely to mean delays for many of the States' big plans while others, such as the hospital modernisation, could be accelerated to help the Bailiwick cope.

So, which of the big spends should be shelved? There are many to choose from, with lots of projects having been given the green light over the past few years.

Here are just a few that Express has remembered which the States may now need to reconsider:

L'Ancresse wall

Despite facing backlash from protestors, States Members agreed to realign the anti-tank wall at L'Ancresse, back in 2017. The work, which has faced some delays over the last couple of years, will include the demolition of part of the wall, as well as the L'Ancresse East kiosk.

Pictured: L'Ancresse anti-tank wall.

The project is expected to cost around £1m.

However, the topic will be returning to the States for debate this week along with a requête, led by Deputy Al Brouard, calling for the plans to be halted for the next decade.

Although this could well save the States money in the short term, it might have a costly long term effect, with Policy & Resources suggesting the pause would cost the island £1.65m in upkeep and repair work over that ten year period.

Transformation of education

Two schools? Three schools? It's another topic rife with controversy, but the future of Guernsey's secondary education system does seemed to have slipped some people's minds in light of the covid-19 pandemic.

Pictured: ESC had decided on a uniform for Lisia students.

Education, Sport & Culture asked for £157.3m in capital funding for its 'one school on two sites' model. A large chunk of that would be used to redevelop St Sampson's High and Les Beaucamps High - which are supposed to be known as Victor Hugo and de Saumarez colleges - while £47m would be spent creating the Guernsey Institute at Les Ozouets campus and up to £22.4m would go towards redeveloping La Mare de Carteret Primary School.

But, a successful requête led by Deputies Carl Meerveld and Andrea Dudley-Owen has halted Education's plans. The Committee has until the end of the year to draw up comprehensive comparisons with other models of education and report back to the States.

Hospital modernisation

Now more than ever, the Princess Elizabeth Hospital is vital to Guernsey's infrastructure, with staff working round the clock to ensure it is prepared for what the pandemic could bring.

Pictured: The Emergency Department will be redesigned as part of the wider project.

Last year, the States agreed a spend of up £93.4m on the PEH, to be spread over a decade. The work has already begun, with further plans to relocate the Medical Specialist Group onto the hospital site, improve parking and redesign the Emergency Department, among other changes.

Phase One of the three part plan got underway in 2019 and was due to be completed next year.

During a recent media briefing, President of Health & Social Care, Deputy Heidi Soulsby suggested the project could be accelerated to help with the covid-19 pandemic.

NICE drugs

Another multi-million pound spend for HSC is the funding for new drugs and treatments.

The project, which was backed by the States early this year, will close the gap between treatments offered to Guernsey and UK patients and could benefit thousands of people in the island.

Pictured: More drugs and treatments will be available for Guernsey patients.

However, it does come at a cost, with £13.9m expected to be spent in the first two years alone. This is set to be funded from the Guernsey Health Reserve until a long term alternative is found, but P&R has warned that could lead to a future increase in income tax to pay for the drugs.

Runway extension

The runway has become a regular topic for conversation in the States Assembly and was a particular passion for the late Deputy Jan Kuttelwascher, who served for years as a pilot.

Pictured: Guernsey Airport's runway could be extended.

It was Deputy Kuttelwascher himself who brought the latest requête on the runway to the States, directing the Committee for Economic Development to put together a business case and cost benefit analysis on making the runway at least 1,700 metres long.

The requête was approved in a close vote, and ED was given a budget of £360,000 to complete the work, which is due to be presented back to deputies next month.

E-bike subsidy

If you look at the 'nice to haves' there are a number of smaller schemes the States have approved in recent years, which by comparison don't cost much. But every penny counts, surely?

The e-bike subsidy is one of those. It is much smaller compared to other multi-million pound policies, with the States putting aside nearly £44,000 to spend on the latest scheme.

The current one offers a 20% discount for people locally buying an electric trike or cargo bike. It was launched earlier this month, following on from a similar successful scheme in 2018, and will last until the fund eventually runs out.

Pictured: Some of the e-cargo bikes on offer at Adventure Cycles.

While it is unlikely that all of these topics will come up in debate throughout this week's States meeting, deputies may well have to battle it out over the coming months to maintain funding for their projects.

Plans to extend Longue Hougue South at great cost are among the projects already in the firing line, with a sursis lodged to halt that debate. Others are expected to follow. 

You can watch the live, virtual States meeting via the States of Guernsey Facebook page, and follow Express for updates as decisions are made.