Concern at suspension of open market property applications

The Environment and Infrastructure Committee has suspended applications to the open market register while it creates a new criteria for adding properties

Suspending the listing of new open market properties in Guernsey has been described as "another example of socialist anti-profit" policy.

People without local residential qualifications can live in open market properties.

The Environment and Infrastructure Committee (E&I) is creating new criteria for adding properties.

Former Deputy Chief Minister Mark Helyar said he was "slightly concerned" at the decision.

E&I has the power to add any local market property to the open market register.

Its President Lindsay de Sausmarez said her committee was still working on the new criteria.

'Great deal of speculation'

Deputy Helyar asked E&I a number of questions, which it responded to explaining the committee's position.

He said: "There is a great deal of speculation about this issue.

"As far as I'm concerned, the response doesn't correspond with Guernsey law, but lawyers of course often disagree.

"I'm slightly concerned that the decision to unilaterally suspend legal rights appear to have been made purely it seems on a small group of politicians personal dislike of local residents making a profit, it does, however, seem to chime with other socialist anti-profit policies such as GP11."

GP11 is a policy which requires all planning applications for more than 20 units of accommodation to provide up to 30% of developable land for affordable housing purposes.

'Incredibly important'

Deputy de Sausmarez said it was "incredibly important" a new policy was developed, so the open and local markets could be protected.

She added: "The committee - like all States members - is mandated to act in the best interests of the island, and protecting the housing market from the risk of instability is inarguably in the best interests of the island, especially right now when housing is rightly such a priority.

"I'm sure, as the political lead for the Treasury until just a few weeks ago, Deputy Helyar would be strongly supportive of any additional revenue that can be raised fairly and effectively.

"The new policy will include a levy on what is an entirely voluntary process which, even after any such levy, would likely result in a meaningful profit for the successful applicant."

She said it was the right thing to do to suspend new applications to the open market.

Mrs de Sausmarez added: "We need a policy in place to define what is an open market property and what qualifies as that part of our market has a really important role.

"It is there to make sure the local market remains as affordable as possible for local residents. It's also an economic enabler."

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