Guernsey States deficit falls to £10.4m

Deputy Gavin St Pier said financial discipline needed to continue to end the deficit

The deficit of the States of Guernsey fell by more than 50% in 2014, according to the latest accounts.

The overall shortfall of income compared with spending was £10.4m last year, compared to £24.8m in 2013 and £20m in 2012.

Treasury Minister Gavin St Pier said the "most important" reason was spending being £6m below budget.

He said that "improvements in the collection of income tax and corporate taxes" had also helped.

Deputy St Pier said it showed "good control of spending across the States as a whole".

He said: "It is important that, although the States' finances are expected to return to a surplus position in the coming years, a culture of good fiscal discipline is maintained."

Mr St Pier said there was an "ongoing need... for government's continuous improvement and efficiency" to ensure it "lives within our means".