Deputy Hilary Jeune. Picture: ROB CURRIE. (36860171)

CONCERNS that the Planning and Regulation Department’s funding model is “not sustainable” have been raised by a Scrutiny panel.

It follows a hearing of the Environment, Housing and Infrastructure Scrutiny Panel earlier this week, in which Infrastructure and Environment chief officer Andy Scate noted a shortfall of around two-million pounds in planning and building income this year.

Mr Scate said this was the result of fewer large-scale planning applications being submitted, but outlined hopes that the situation would improve as pressures within the Island’s development industry “start to loosen”.

Mr Scate also told the panel that, while the department hadn’t gone into a position of making compulsory or voluntary redundancies, it was freezing a certain number of vacant roles – revealing that “we’re currently at about a 20% vacancy factor in the directorate”.

During the hearing, panel chair Deputy Hilary Jeune highlighted that the proposed Budget lists a 2027 income figure for Planning and Regulation of £5,756,000 – more than half of the department’s planned expenditure for that year of £10,148,000.

Speaking to the JEP afterwards, she said the panel has been concerned that the funding model of the department “is not sustainable going forward” due to its reliance on the development market’s performance.

“Of course, it’s important for them to look at efficiencies and supporting staff with those efficiencies. But still, if they are saying that there needs to be this many roles and they can’t fulfill that because of budget, there’s something wrong with the model and it does need to be looked at.”

Following questions from the JEP, the Jersey Construction Council cited “geopolitical pressures, the availability and affordability of finance, construction costs and the unintended consequences of some government policies” as some of the factors behind the slowdown in development.

“We are encouraged by the expectation that larger projects will return as conditions improve, and we welcome the Minister for Planning and Regulation’s consultation on proportionate planning reform,” the Council continued.

“Government and industry now have an opportunity to work together to rebuild confidence, unlock investment and get much-needed projects moving.”