‘Cut public spending – or face 28% income tax rate’

Kevin Keen, who was appointed last year as a consultant to analyse the structure of the public sector and found efficiencies in the States, said that unless ministers find ways to curb expenditure over the next three years Islanders will have to face huge tax hikes.

His comments come a week before the Council of Ministers publishes the Medium Term Financial Plan Addition, which will set out further details of their tax and spending plans until 2019, following the approval of the first part of the MTFP last year.

It is widely expected that new levies, such as health and sewage charges, and cuts to the public sector will be outlined when the Addition is published on 30 June, as ministers seek to close a predicted potential deficit of £145 million in Jersey’s finances by 2019.

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