Spending plan announced 'for Jersey's future'

The Government of Jersey hopes the spending plan will revitalise the economy

A spending plan has been outlined by ministers which will "invest in Jersey's future".

The Government Plan for 2022-2025 sets out a programme "for recovery and renewal", describing how the States could tax people more and make savings on investments.

As part of proposed changes to the budget, the cost of a bottle of spirit could rise by as much as 85p.

Income tax allowances, fuel and vehicle emissions duty could also increase.

The strategy outlines spending plans in relation to key areas such as revitalising the economy, health and wellbeing, population growth and climate change.

The Government of Jersey said it meets the commitments made in the Common Strategic Policy, which was developed by the Council of Ministers in 2018.

It said the plan would "ensure absolute clarity about income and expenditure for the 12 months ahead, as part of a four-year financial outlook".

2022 budget measures

• 8p increase on a 750ml bottle of wine

• 85p increase on a litre of spirits

• 65p increase on a packet of 20 king size cigarettes

• £3.55 increase on a 50g tobacco pouch

• 5p increase per litre on road fuel duty (3p goes into Climate Emergency Fund)

• Vehicle emission duty increases from 2.5% up to 70.8%

• Income tax allowances to include £850 increase for a married couple

The Minister for Treasury and Resources, Deputy Susie Pinel, said: "This plan focuses on recovery and renewal for islanders and our economy, by outlining a plan for the long-term sustainability of government finances; enabling us to build a better future together."

She added that after six years of growth, Jersey's economy, like others globally, declined sharply in 2020, but the latest forecast from the International Monetary Fund was for global growth of 6% in 2021.

The plans will be debated on 14 December.

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