The Institute of Directors has urged deputies to consider the “economic contribution and benefits of independent education” before next week’s States debate on cutting the funding for Guernsey’s three private colleges.
Education, Sport & Culture wants to phase out the funding of Elizabeth, Blanchelande, and Ladies’ College, which is currently around £3m. annually, while the colleges have laid out a proposal to keep it in place until 2040 with closer partnership working with the States sector.
Three other options are now also in play when the States debates the issue next week, after deputies St Pier, Roffey, and Inder offered alternative suggestions.
The IoD has said “it is critical for our deputies” to consider the benefits the schools bring to the wider community before they make any decisions.
“We must acknowledge the risks to economic growth, confidence, competitiveness and therefore our future success from removing some or all of the funding,” the organisation said in an Opinion article published by Express HERE.
The IoD has warned that the island’s economic growth has been a nominal 1% since 2019, and our productivity has only improved by 2% in the last 15 years, while our living standards have barely changed in 15 years.
“Low productivity undermines our competitiveness as a jurisdiction, leading to lower and stagnant economic growth rates…,” explains the IoD. “A critical issue highlighted in the IoD’s groundbreaking 2024 research report into the strengths and weaknesses of Guernsey’s social capital was the widespread perception that the island is stagnating, and the IoD’s economic survey of business leaders in November 2024 highlighted that confidence is deteriorating with optimism about the Guernsey economy and their firm’s profit expectations over the next 12 months both falling.
“International research and macroeconomics literature has shown that investing in education improves the economic growth prospects of a country. The independent colleges contribute to Guernsey’s community and the economy more widely in several ways; supporting students to reach their full potential, whether that is academic grades, enjoying sport, the arts or even speaking in the House of Commons; as well as employing people and purchasing goods and services from local suppliers.”
The IoD has also encouraged deputies to look at the “many” other countries which subsidise independent education and it is arguing that Guernsey needs to ensure its “homegrown workforce is prepared for the professional services that our island’s economy relies on” and that “attracting and retaining international businesses, as well as attracting new top talent to the island, is critical for our collective economic and social wellbeing”.
It says this is directly linked to the future viability of the three private schools as “Guernsey needs to remain competitive, with education, housing, connectivity, and healthcare being four key considerations for highly skilled professionals contemplating a move” to the island.