Guernsey States agrees benefit increases

Benefit rises above the rate of inflation have been agreed by the States of Guernsey.

Deputies voted for a 3.6% rise in pensions and contributory benefits, including sickness and unemployment.

Supplementary benefits will rise by 2.6% and the overall benefit limitation will increase from £405 to £450 per week.

During debate, Social Security Minister Mark Dorey warned of the rising costs due to pensioners living longer.

Moves to reduce the increase to 2.6%, the RPIX figure for June 2011, and increasing medical benefits were rejected.