The Long Term Care Fund – a pot of money into which Islanders contribute to help pay for the care of the elderly and those with long-term conditions – currently has a cash surplus that will not be required before at least 2019, when the current States spending plans expire.
As a result, Social Security Minister Susie Pinel, within whose remit the fund falls, has signed a ministerial decision authorising the transfer of £10m from the ring-fenced fund into the Common Investment Fund, from where public money can be invested in bonds.
The move follows a meeting in June at which the panel that advises the Treasury recommended updating the investment strategy for the LTCF so that it could hold half of its investment assets in cash and half in absolute return bonds.
