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A Trojan gift
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From Brian Hotton.
I WRITE re Bob Gaiger’s letter (JEP, 28 August) ‘It is not too late to reverse this political gesture’ which referred to the ‘about turn’ on GST on food.
I must say at the outset that I was against the imposition of GST on anything, because I thought and still do think that there were many other areas where extra taxes could be raised which would have had less impact on the less well off.
However, we now have GST and to remove it from food is, I believe, a retrograde step, which Bob Gaiger and Craig Leach have both pointed out in these columns.
More income support for the very low earners and increasing tax allowances for those just out of the ‘net’ for receiving income support would help.
Remember that Senator Walker stated through these columns that there was ‘around £5 million’ more collected through GST than was envisaged.
I read in Thursday’s JEP that Education are to be given an extra £3.5 million for ‘universal’ nursery care. In the same article we are also told that the Discrimination Law will receive several million pounds to ensure enforcement, something I agree with. Then we are told that more money is going to fund the buses (a million or two?).
Now what I would like to know is where the money is coming from?
The £5 million of extra GST income will be lost, because of the removal of GST on food, £3½ million needed for nursery places, several million for the Discrimination Law and, of course, the one or two million for the buses. All this when the predicted budget shortfall is £43 million.
The removal of GST from food is what I call a ‘Trojan gift’ which the people of Jersey will live to regret.
When Senator Le Sueur said he would guarantee three per cent GST for so many years, this will fly out of the window because he will say he could only guarantee three per cent when food was included.
What will he do? Put ten or 15 per cent on soap and toilet paper?
This is an about-turn and whoever votes for it should not be allowed to call themselves a politician, remembering this is nothing more than electioneering.
66 Stopford Road,
St Helier.
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