Advertisement

  1. ITV Report

Scrap tax on electric cars, says Reform Jersey

Reform Jersey is publishing a series of amendments to the Government Plan, which is due to be debated later this month. Credit: Xu Yu/Xinhua News Agency/PA Images

Jersey's only political party is proposing a raft of changes to the government's spending plans, including removing the sales tax from electric cars and solar panels.

Reform Jersey is publishing a series of amendments to the Government Plan, which is due to be debated later this month.

They're calling for the GST on expensive cars (costing more than £30,000) to be doubled to 10%, with the tax on electric cars and solar panels scrapped as part of a push to make the island more environmentally friendly.

They also want to increase the amount of Social Security paid by employers to fund improved benefits for new parents.

Elsewhere, they say the proposed doubling of the rate of Long Term Care tax from 1% to 2% should be axed, with the upper earnings limit removed so higher earners pay more.

After a decade of real terms earnings being frozen and rising income inequality, it is wrong that the wealthiest Islanders continue to get an exemption from paying the full rate of the LTC charge, whilst the rate gets doubled for the rest of us. I have always believed that the cap is regressive and unfair, and my amendment will allow the Assembly to spread the burden more fairly whilst ensuring that the Long-Term Care Fund remains in a healthy state for several more years

– Senator Sam Mezec, leader of Reform Jersey

It comes as politicians begin pushing their own amendments to the Government Plan which sets out spending priorities for the next four years. It is also due to include £100million of cost cutting measures to balance the public sector finances.

The plan to remove GST from solar panels has been welcomed by those working in the renewable energy sector.

I really think it's important to Jersey to be generating more power on island, certainly that would create more jobs, it would keep more money in the economy here and we've got all these natural resources around us looking to be utilised to the full extent.

– Mark Brandon from Sunworks

You can read the full Government Plan and the proposed amendments here.

  • WATCH Gary Burgess' full report here...

Sorry, this content isn't available on your device.