Guernsey States expected to decide on whether to introduce GST

Guernsey notes and coins.
The States will be debating three potential options. Credit: ITV Channel TV

Guernsey politicians are expected to decide whether or not they will introduce a new Goods and Services Tax (GST) at a States meeting today (13 October).

The introduction of GST was discussed at the last States meeting, but a decision has yet to be made on which of three options will be selected.

They are:

  • An income based health tax at 3%.

  • GST that will gradually increase to up to 8%, with measures to protect low-income households.

  • GST that will gradually increase to up to 5%, with smaller measures to protect low-income households.

It comes as Guernsey's Policy and Resources Committee need to make up for a forecasted £80 million deficit in the public finances.

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