Politicians throw out plan to scrap food GST

Thursday 24 November 2022

A push by a Reform Deputy to scrap GST on food has been thrown out by the States Assembly.

The proposition put forward by St. Saviour's Raluca Kovacs was defeated by 17 votes to 28.

Following the vote, she told the Assembly this was not the last they have heard on this topic.

However, the scheme was met with a number of concerns, including from the Council of Ministers – many of which rejected the proposals.

Home Affairs Minister Helen Miles said the proposals didn't give consideration to the "cost to Customs and Immigration".

"I cannot support the proposition, not because I don't care. I can't support it as the benefit it may bring does not justify the disruption to public business," she said.

External Relations Minister Philip Ozouf said the focus should be on providing competition in order to lower the cost of living and described Deputy Kovacs proposition "seriously failed".

The States Assembly voted to REJECT Deputy Raluca Kovacs’ proposal, with 17 votes for and 27 votes against. https://t.co/p3fYWMbcM0

— States Assembly - Jersey's elected parliament (@StatesAssembly) November 24, 2022

St. Helier South Deputy Sam Mézec, who supported the proposition, described GST as a "regressive tax" which has not achieved what it set out to do.

"If we want to help the vulnerable, the government just seems to throw benefits at them rather than get to the root of the cause," he said.

GST was first introduced in 2008 at a rate of 3% before being upped to 5% in 2011, where it has remained ever since.