Higher water rates and property tax among plans in Alderney draft budget for 2024

Politicians have revealed their plans for next years budget, which are set to be debated next week. Credit: ITV Channel

A 4% increase in property tax, alongside a 5% rise in water rates, are among the proposals included in Alderney States' draft budget for 2024.

Chair of the Policy and Finance Committee, Nigel Vooght, says it was not an easy decision but that the changes are "well below the rate of inflation".

It is hoped the extra revenue could help the island turn its deficit - currently projected to be £485,000 by the end of the year - into a "modest surplus" in 2024.

The States estimates that the change to property tax, coupled with the "wise investment of reserves", could raise more than £200,000 alone.

It says having such a large deficit in the last few years was needed so it could supply Primary Health Care and a "safe and resilient" Ambulance Service.

Under the plans, the money raised from a change in water rates would be allocated to major projects, such the sewer system between Mouriaux and Platte Saline.

The budget also includes proposals to increase the import duty on vehicles by 50% in a bid to limit the number of cars in Alderney.

If the airport's runway extension goes ahead, the States has committed up to £3.5m to the cost of refurbishing the airport.

The draft budget will be debated in the States on 11 October.

Chair of the Policy & Finance Committee, Nigel Vooght, says: “Every department of the Civil Service and the States Members have worked hard to manage the deficit responsibly and thanks to this teamwork, we are on track to turn it from deficit to surplus next year.

"No one said it would be easy and while we fully expected this would take us down the route of increasing taxes while making efficiency savings across the board, we have been able to keep such tax increases well below the rate of inflation.

"Tax increases are never welcome, but many will breathe a sigh of relief that they are not as high as we might have expected in the current economic climate".

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