Jersey £10m economy growth plans 'not enough' says IoD

The money for the £10m fund will come from Jersey's Treasury

Plans for a new £10m fund do not go far enough to grow Jersey's economy, according to local business leaders.

The Treasury's <link> <caption>Innovation Fund</caption> <url href="http://www.bbc.co.uk/news/world-europe-jersey-18294355" platform="highweb"/> </link> is aimed at so-called high value firms in any sector to help create jobs.

But Jersey's Institute of Directors wants more effort to ensure businesses in the island prosper.

In its response to the plans it said red tape stopped firms from developing and politicians needed to bring in laws to help businesses.

The institute is calling for a tax scheme to encourage investment.

It said: "Even in a zero tax environment, creative use of the tax system can be an economic driver in itself."

'Protracted debate'

It said it supported the £10m fund for growth, but said the States should be prepared to commit further public funds to key infrastructure projects.

Jason Laity, the chairman of the Jersey Institute of Directors, said local businesses were concerned the Economic Growth and Diversification Strategy would not be introduced quickly enough.

He said: "What we need is action now because it is now that businesses in the island need help to grow.

"What we do not want is a long and protracted debate around the growth strategy."

But Jersey's Economic Development Minister said States members would be debating the issue next week.

Senator Alan Maclean said: "It sets out out the need for action and what needs to be done in the next three years to achieve the States of Jersey's vision for the economy."