Benefits increases proposed by committee

The States said the cost of living would rise further in 2022, as the recent rise in electricity prices was not captured in the quarterly figures

New increases to benefits in Guernsey have been proposed and are set to be voted on by the States.

The Committee for Employment and Social Security has produced a report on benefits that are covered by taxation.

Its proposals include raising family allowance and severe disability benefit by 7% and the carer's allowance by 10%.

The States of Guernsey is due to vote on the committee's proposals next month.

Other proposals include removing the limit for weekly income for those in receipt of income support.

Deputy Peter Roffey, President of the Committee, said: "It is unjustifiable that a limit of income is applied to low-income households which often forces them to make impossible choices when paying for the most basic day-to-day necessities like food or utility bills.

"The committee is of the opinion that continuing to impose this would only serve to create severe financial hardship for some Guernsey families."

Income support claimants are required to be in full time work, and requirement rates and maximum rent allowances will remain in place, under the proposals.

In September the Assembly applied emergency increases to income support requirement rates, the limit of weekly income for people living in the community, and the maximum rent allowances in response to the rate at which the cost-of-living has been increasing recently.

A 5% increase to these benefits will take effect on Friday.

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