The balance between what Islanders expect from government and what they are prepared to fund was thrust into the political spotlight yesterday, as the Social Security Minister was grilled over spending plans by her political colleagues.
The Health and Social Security Scrutiny Panel’s hearing with Deputy Lyndsay Feltham covered a number of areas, including discussions about the planned reduction of the States grant to the Social Security Fund over the next four years – one of the more controversial proposals forming part of the proposed Budget for 2026 to 2029.
If the spending plans are approved, the figure would drop from its formula value of around £97 million to around £50 million, with further “one-off” reductions of £17.6 million and £10 million – to support the government’s capital programme and living wage transition plans respectively – taking it down to £22.768 million in 2026.
At the end of the hearing, panel member Deputy Jonathan Renouf asked: “Are we essentially reaching a turning point in Jersey’s tax and spending model where we have a mismatch between what the public expect to receive on what we’re prepared to pay?”
Deputy Feltham replied: “That’s a very politically-charged question, isn’t it?”
This, obviously, is a scrutiny hearing. You’re questioning me as Minister. I think that’s quite a politically-charged question and one that will play out in the election
Social Security Minister Lyndsay Feltham
The Minister continued: “I think that as we come up to the election, that’s going to be a very real election issue around public expectations and what we’re willing to pay and how it’s paid for.
“And I think we’ve all probably got different views around the table on that. I think it will be a matter for debate.”
Reiterating his question, Deputy Renouf asked whether there was “a fundamental gap between what we’re gaining in tax and what we need to spend”.
Deputy Feltham highlighted the relevance of “decisions made into the future around the States grant”, pointing out that “if we do stop the reduction in the States grant, there will then be a gap that needs to be filled”.
She also contended that she was “very clear in my manifesto about my taxation policy”.
“I think other Members are going to have to be very clear within their manifestos as we approach the election, around how we intend to both collect revenue but also spend,” Deputy Feltham continued.
“But from my part, what I can say is I am very confident that my department is run efficiently and effectively.
“We’re playing our part in respect of the savings targets,” the Minister added, noting that her department was “exceeding its savings targets”.
“We’ve all got a different part to play. This, obviously, is a scrutiny hearing. You’re questioning me as Minister. I think that’s quite a politically-charged question and one that will play out in the election.”